Document ID: chunk:federal_register_of_legislation:C2025C00014:schedule:2f:p33
Version: federal_register_of_legislation:C2025C00014
Segment Type: schedule
Provision Reference: sch 2F (pt 33/79)
Character Range: 2287069–2289604

trust:
 (a) the first trust is a holding trust of the second; and
 (b) the second is a subsidiary trust of the first.

Abnormal trading causing or ending holding‑subsidiary relationship
 (2) The transaction that causes a trust to become, or to cease to be, a holding trust of a subsidiary trust (the bottom subsidiary trust) is an abnormal trading in units in the bottom subsidiary trust unless:
 (a) the holding trust is itself a subsidiary trust of one or more holding trusts (each of which is a higher holding trust); and
 (b) immediately before and after the transaction, the bottom subsidiary trust is a subsidiary trust of one or more of the higher holding trusts.

Abnormal trading while holding‑subsidiary relationship exists
 (3) While one or more trusts are holding trusts of the same subsidiary trust, there is an abnormal trading in units in the subsidiary trust if and only if, and at the time at which, there is an abnormal trading in units in the holding trust that is not itself a subsidiary trust of another holding trust.

269‑49  No abnormal trading where proportionate issue of units
  If the issue of units in a unit trust to existing unit holders does not cause each unit holder's proportion of the total fixed entitlements to shares of the income and capital of the trust to change, then, except for the purposes of section 269‑20, the issue is disregarded in determining whether there has been an abnormal trading in units in the unit trust.

Subdivision 269‑C—Passing the 50% stake test etc.

269‑50  More than a 50% stake in income or capital

More than a 50% stake in income
 (1) If there are individuals who have (between them), directly or indirectly, and for their own benefit, fixed entitlements to a greater than 50% share of the income of a trust, those individuals have more than a 50% stake in the income of the trust.

More than a 50% stake in capital
 (2) If there are individuals who have (between them), directly or indirectly, and for their own benefit, fixed entitlements to a greater than 50% share of the capital of the trust, those individuals have more than a 50% stake in the capital of the trust.

269‑55  Passing the 50% stake test
 (1) If, at all times during a period, or at 2 times:
 (a) the same individuals have more than a 50% stake in the income of a trust; and
 (b) the same individuals (who may be different from those in paragraph (a)) have more than a 50% stake in the capital of the trust;
the trust passes the 50% stake test for the period or in respect of the 2 times.
 (2)