Document ID: chunk:federal_register_of_legislation:C2025C00029:section:5:p6
Version: federal_register_of_legislation:C2025C00029
Segment Type: section
Provision Reference: s 5 (pt 6/13)
Character Range: 3664253–3667050

same rights as are attached to ordinary shares; and
 (b) immediately after the individual acquires the interest:
 (i) he or she does not hold a beneficial interest in more than 10% of the shares in the company; and
 (ii) he or she is not in a position to control, or to control the casting of, more than 10% of the maximum number of votes that might be cast at a general meeting of the company; and
 (c) the share is not a *non‑equity share.
 (2) An individual also acquires a beneficial interest in a *share in a company under an *employee share scheme in circumstances that are relevant for the purposes of paragraphs 208‑205(b) and 208‑235(b) if:
 (a) the share is part of a stapled security; and
 (b) Subdivision 83A‑B or 83A‑C (about employee share schemes) applies to the beneficial interest in the stapled security.
 (3) For the purposes of paragraph (1)(b), you are taken to:
 (a) hold a beneficial interest in any *shares in the company that you can acquire under an *ESS interest that is a beneficial interest in a right to acquire a beneficial interest in such shares; and
 (b) be in a position to cast votes as a result of holding that interest in those shares.

Subdivision 208‑H—Tax effect of a distribution franked with an exempting credit

Guide to Subdivision 208‑H

208‑220  What this Subdivision is about
      Generally, a distribution franked with an exempting credit will only generate a tax effect for the recipient under Division 207 if a tax effect would have been generated for the recipient had the recipient received a franked distribution when the distributing entity was an exempting entity.

Table of sections

Operative provisions
208‑225 Division 207 does not generally apply
208‑230 Distributions to exempting entities and former exempting entities
208‑235 Distributions to employees acquiring shares under eligible employee share schemes
208‑240 Distributions to certain individuals

Operative provisions

208‑225  Division 207 does not generally apply
  Division 207 does not apply to a *distribution *franked with an exempting credit, unless the Division is expressly applied to the distribution under this Subdivision.

208‑230  Distributions to exempting entities and former exempting entities
  Division 207 applies to a *distribution *franked with an exempting credit by a *former exempting entity as if it were a *franked distribution if:
 (a) the recipient of the distribution is a former exempting entity and the distribution gives rise to an *exempting credit for the recipient; or
 (b) the recipient of the distribution is an *exempting entity and the distribution gives rise to a *franking credit for the recipient; or
 (c) the distribution *flows indirectly to a former exempting entity and gives rise to an exempting credit for that entity; or
 (d)