Document ID: chunk:federal_register_of_legislation:C2025C00014:section:26bc:p2
Version: federal_register_of_legislation:C2025C00014
Segment Type: section
Provision Reference: s 26BC (pt 2/9)
Character Range: 242548–245186

in relation to a company—means an option to acquire shares in the company; or
 (b) in relation to a unit trust—means an option to acquire units in the unit trust; or
 (c) in relation to a government or an authority of a government—means an option to acquire a bond, debenture or similar financial instrument issued by the government or by the authority.
public company means:
 (a) a listed company; or
 (b) a mutual life assurance company; or
 (c) a company in which a government or an authority of a government has a controlling interest; or
 (d) a company that is a 100% subsidiary of a company covered by paragraph (a), (b) or (c).
right:
 (a) in relation to a company—means a right to acquire shares in the company or to acquire an option; or
 (b) in relation to a unit trust—means a right to acquire units in the unit trust or to acquire an option; or
 (c) in relation to a government or an authority of a government—means a right to acquire a bond, debenture or similar financial instrument issued by the government or by the authority or to acquire an option.
 (2) If an eligible security is held by a person as trustee for another person who is absolutely entitled to the eligible security as against the trustee, this section applies as if the eligible security were vested in the other person and any acts of the trustee were the acts of that other person.
 (3) This section applies where:
 (a) under a written agreement of the kind known as a securities lending arrangement, being an agreement that was entered into after 9 May 1990:
 (i) at a particular time (in this section called the original disposal time), a taxpayer (in this section called the lender) disposed of an eligible security (in this section called the borrowed security) to another taxpayer (in this section called the borrower); and
 (ii) at a later time (in this section called the re‑acquisition time), being less than 12 months after the original disposal time, the lender:
 (A) re‑acquired the borrowed security (which re‑acquired security is in this section called the  replacement security) from the borrower; or
 (B) acquired an identical security (which acquired security is in this section also called the replacement security) from the borrower; and
 (b) both the borrower and the lender were dealing with each other at arm's length in relation to each of the transactions mentioned in paragraph (a); and
 (c) if any of the following events occurred during the period (in this section called the borrowing period) commencing at the original disposal time and ending at the re‑acquisition time:
 (i) the making or payment of a distribution (whether