Document ID: chunk:federal_register_of_legislation:C2025C00014:section:349:p2
Version: federal_register_of_legislation:C2025C00014
Segment Type: section
Provision Reference: s 349 (pt 2/2)
Character Range: 1919927–1921957

in a trust is not less than 50%;
 (d) whether the associate‑inclusive control interest that an Australian entity holds in a CFC is not less than 10%;
 (e) whether the associate‑inclusive control interest that an Australian entity holds in a company is not less than 1%;
if, apart from this subsection, an entity, or each of 2 or more entities, would hold a direct control interest, or control tracing interest, in another entity (in this subsection called the higher entity) equal to 100%:
 (f) only one of those entities is to be taken to hold a direct control interest, or control tracing interest, as the case may be, in the higher entity equal to 100%; and
 (g) no other entity (whether or not the entity would, apart from this subsection hold a direct control interest, or control tracing interest, of 100%) is to be taken to hold any direct control interest, or control tracing interest, as the case may be, in the higher entity.
 (5) For the purpose of calculating the aggregate of the associate‑inclusive control interests that a group of entities holds in a company or trust:
 (a) if a particular direct control interest or indirect control interest that an entity holds in another entity would be counted more than once because the entity is an associate of one or more other entities in the group, that interest is to be counted only once; and
 (b) if both of the following things would, but for this subsection, be counted in calculating the aggregate of the associate‑inclusive control interests that a group of entities holds in a company or trust:
 (i) the holding of a direct control interest by an entity;
 (ii) an entitlement to acquire that direct control interest;
  only one of those things is to be counted.
 (6) If it is necessary for the purposes of this section to decide:
 (a) which one of 2 things is to be taken into account for the purposes of subsection (3) or (5); or
 (b) which one of 2 or more entities is to be chosen for the purposes of paragraph (4)(f);
the Commissioner may make that decision.