9ATransfer of partnership interest occurring on change in partnership arrangements

#### 9A Transfer of partnership interest occurring on change in partnership arrangements 9A Transfer of partnership interest occurring on change in partnership arrangements > > (1) A transfer of a partnership interest is taken to occur when a change in partnership arrangements occurs. > > > (2) A change in partnership arrangements occurs if— > > > > > (a) a partner in an existing partnership retires so that a new partnership is formed (with or without the admission of new partners), or > > > > > (b) a new partner is admitted to an existing partnership so that a new partnership is formed. > > > (3) A new partnership is formed when a partner in an existing partnership retires, unless the partnership is wound up on that retirement (sometimes referred to as a general dissolution of the partnership). > > > (4) A new partnership is formed whenever a new partner is admitted to an existing partnership. > > > (5) For the purposes of this Act— > > > > > (a) if a change in partnership arrangements occurs because of the retirement of a partner in an existing partnership, the retiring partner’s partnership interest is taken to be transferred to the partners in the new partnership (a retirement transfer), and > > > > > (b) if a change in partnership arrangements occurs because of the admission of a new partner to an existing partnership, the new partner’s partnership interest is taken to be transferred to the partners in the new partnership (an admission transfer). > > > (6) If a change in partnership arrangements results in both one or more retirement transfers and one or more admission transfers, duty is chargeable only on— > > > > > (a) the retirement transfer or retirement transfers, if the dutiable value of the retirement transfer or retirement transfers exceeds the dutiable value of the admission transfer or admission transfers, or > > > > > (b) the admission transfer or admission transfers, if the dutiable value of the admission transfer or admission transfers exceeds the dutiable value of the retirement transfer or retirement transfers. > > > (7) This section does not affect liability for duty on a transfer of a partnership interest that occurs otherwise than because of a change in partnership arrangements. > > > > Note. > > > > For example, a transfer of a partnership interest from one partner to another partner in an existing partnership will also be dutiable under this Chapter. > > > (7A) To avoid doubt, a transfer of a partnership interest that is taken to occur under this section is a transfer of dutiable property and a reference in this Act to a transfer of dutiable property or a dutiable transaction includes a reference to such a transfer. > > > (8) In this section, retirement of a partner includes retirement as a consequence of the death of a partner. > > **s 9A:** Ins 2012 No 76, Sch 1 \[2\]. Am 2014 No 56, Sch 1 \[3\].