82Constructive ownership of landholdings and other

82 Constructive ownership of landholdings and other property—discretionary trusts (1) For this section, a person is a beneficiary of a discretionary trust if the person is a person, or a member of a class of people, in whose favour, by the terms of the trust, capital the subject of the trust may be applied in the event— (a) of the exercise of a power or discretion in favour of the person or class; or (b) that a discretion conferred under the trust is not exercised. Note Discretionary trust—see the dictionary. (2) A beneficiary of a discretionary trust is taken to own or to be otherwise entitled to the property the subject of the trust.

(3) For this part, any property that is the subject of a discretionary trust (the primary trust) is taken to be the subject of any other discretionary trust— (a) that is a beneficiary of the primary trust; or (b) any trustee of which (in the capacity of trustee) is a beneficiary of the primary trust. (4) Subsection (3) extends to apply to property that is the subject of a discretionary trust only by the operation of that subsection. (5) However, subsection (2) or (3) does not apply in a particular case if the commissioner— (a) is satisfied that the application of the subsection would be inequitable; and (b) determines, in writing, that the subsection does not apply. person includes an entity. Note Entity—see s 78A.