Document ID: chunk:federal_register_of_legislation:C2014C00749:clause:15_5:p1
Version: federal_register_of_legislation:C2014C00749
Segment Type: clause
Provision Reference: sch 15 cl 5 (pt 1/5)
Character Range: 337770–340522

5                                       a *fixed trust and a *non‑fixed trust  There must be 2 or more *ultimate owners:
                                                                               (a) each of whom *controls (for value shifting purposes) the non‑fixed trust because of section 727‑365 at the same time during that period; and
                                                                               (b) who, at that or a different time during that period, have *ultimate stakes, of percentages totalling at least 80%, in the fixed trust because of the same test in section 727‑410

Additional condition about profile of percentage ultimate stakes held by 2 or more ultimate owners
 (2) In order to satisfy the test in item 1, 2 or 3 in the table in subsection (1), at least one of subsections (3), (4) and (5) must be satisfied.
 (3) For at least one of the *ultimate owners referred to in that item, the percentage of the *ultimate stake that owner has as mentioned in paragraph (a) in the last column of that item must be at least 40%, and so must the percentage of the ultimate stake that owner has as mentioned in paragraph (b) in the last column of that item.
 (4) Alternatively, for each of those *ultimate owners, the percentage of the *ultimate stake that owner has as mentioned in that paragraph (a) must be the same as the percentage of the ultimate stake that owner has as mentioned in that paragraph (b).
 (5) Alternatively, the number of those *ultimate owners must not exceed 16.

727‑405  Ultimate stake of a particular percentage in a company
 (1) This section sets out 3 tests of whether an entity has an ultimate stake of a particular percentage (the test percentage) in a company.
Note: In applying the tests, follow the rules in section 727‑415.

Voting power
 (2) The first test is that, after tracing, to the *ultimate owners who ultimately hold it, the direct and indirect ownership of all *shares in the company that carry the right to exercise voting power in the company, that ownership is held by the entity to the extent of the test percentage of that voting power.

Dividends
 (3) The second test is that, after tracing, to the *ultimate owners who ultimately hold it, the direct and indirect ownership of all *shares in the company that carry the right to receive any dividends that the company may pay, that ownership is held by the entity to the extent of the test percentage of those dividends.

Capital distributions
 (4) The third test is that, after tracing, to the *ultimate owners who ultimately hold it, the direct and indirect ownership of all *shares in the company that carry the right to receive any distribution of capital of the company, that ownership is held by the entity to the