Document ID: chunk:federal_register_of_legislation:C2025C00029:section:7:p30
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 7 (pt 30/58)
Character Range: 2373286–2376019

operation of the tax concession regime for:
 (i) investments made through a *VCLP, *ESVCLP or *AFOF; and
 (ii) investments made directly by foreign residents registered under Part 3 of the Venture Capital Act 2002; and
 (b) be conducted by the Department and Industry Innovation and Science Australia; and
 (c) make provision for public consultation.
 (3) For the purposes of conducting the impact assessment, the reference to Industry Innovation and Science Australia in item 6 of the table in subsection 355‑65(4) of Schedule 1 to the Taxation Administration Act 1953 is taken to include the Secretary of the Department.
 (4) The Minister must cause a written report about the impact assessment to be prepared.
 (5) The Minister must cause a copy of the report to be tabled in each House of the Parliament within 15 sitting days of that House after the day on which the report is given to the Minister.

Subdivision 118‑G—Venture capital: investment by superannuation funds for foreign residents

Guide to Subdivision 118‑G

118‑500  What this Subdivision is about
      A foreign resident tax exempt pension fund that invests in venture capital equity in an Australian company or fixed trust (a resident investment vehicle) can disregard a capital gain or capital loss it makes from a CGT event that happens to that equity if:

                (a) the entity is registered under the Pooled Development Funds Act 1992; and
                (b) the entity owned the equity for at least 12 months.

Table of sections
118‑505 Exemption for certain foreign venture capital
118‑510 Meaning of resident investment vehicle
118‑515 Meaning of venture capital entity
118‑520 Meaning of superannuation fund for foreign residents
118‑525 Meaning of venture capital equity

118‑505  Exemption for certain foreign venture capital
 (1) A *capital gain or *capital loss is disregarded if it is made from a *CGT event happening in relation to a *CGT asset that is *venture capital equity where the asset:
 (a) was *acquired by a *venture capital entity; and
 (b) at the time of the CGT event:
 (i) was owned by that entity; and
 (ii) had been owned by that entity for at least 12 months.
 (2) The *venture capital entity must be registered under Part 7A of the Pooled Development Funds Act 1992 at the time of the *CGT event.

118‑510  Meaning of resident investment vehicle
 (1) A resident investment vehicle is a company that is an Australian resident, or a trust that is a *resident trust for CGT purposes, if:
 (a) the sum of:
 (i) the total value of the assets of the company or trust, and
 (ii) the total value of the assets of any company or trust *connected with the first company or trust; and
 (iii) the amount of the investment proposed