3BWhat is a *substantial interest* in a trust estate for the purposes of the definition of *foreign trust*?

3B What is a *substantial interest* in a trust estate for the purposes of the definition of *foreign trust*? S. 3B(1) amended by No. 22/2018 s. 4(2)(a). (1) For the purposes of the definition of ***foreign trust*** in section 3(1), a person has a ***substantial interest*** in the trust estate of a trust if— S. 3B(1)(a) amended by No. 22/2018 s. 4(2)(b). (a) the person has a beneficial interest of more than 50% of the capital of the estate of the trust; or (b) the Commissioner has made a determination under section 3D in respect of the person. S. 3B(2) amended by No. 22/2018 s. 4(3). (2) If, under the terms of a trust, a trustee has a power or discretion as to the distribution of the capital of the trust estate to a person or a member of a class of person, any such person is taken to have a beneficial interest in the maximum percentage of the capital of the trust estate that the trustee is empowered to distribute to that person. S. 3B(3) substituted by No. 22/2018 s. 4(4). (3) Subsection (1) applies whether or not the person has the substantial interest— (a) alone; or (b) together with— (i) an associated person; or (ii) a foreign natural person, foreign corporation or trustee of a foreign trust. S. 3C inserted by No. 26/2015 s. 15.