sec.70What is a widely held unit trust

### sec.70 What is a widely held unit trust A widely held unit trust is a unit trust, other than a listed unit trust, that is a registered managed investment scheme for which— units in the trust have been issued to the public; and 50 or more persons are beneficially entitled to the units in the trust; and more than 20 persons are beneficially entitled to at least 75% of the total units in the trust. Also, under section 71 , the commissioner may treat a unit trust as a widely held unit trust. However, for a trust acquisition or trust surrender of a trust interest in a trust, a unit trust is not a widely held unit trust if subsection (1) (b) and (c) is not satisfied before and after the trust acquisition or trust surrender. For subsection (2) , a trust acquisition or trust surrender of a trust interest in a unit trust includes a series of trust acquisitions or trust surrenders under an arrangement. If subsection (2) applies to a unit trust, the trust is not a widely held unit trust from immediately before the trust acquisition or trust surrender or the first acquisition or surrender under the arrangement. For subsection (1) , a person is taken to be beneficially entitled to all units held by the person and related persons of the person. (sec.70-ssec.1) A widely held unit trust is a unit trust, other than a listed unit trust, that is a registered managed investment scheme for which— units in the trust have been issued to the public; and 50 or more persons are beneficially entitled to the units in the trust; and more than 20 persons are beneficially entitled to at least 75% of the total units in the trust. Also, under section 71 , the commissioner may treat a unit trust as a widely held unit trust. (sec.70-ssec.2) However, for a trust acquisition or trust surrender of a trust interest in a trust, a unit trust is not a widely held unit trust if subsection (1) (b) and (c) is not satisfied before and after the trust acquisition or trust surrender. (sec.70-ssec.3) For subsection (2) , a trust acquisition or trust surrender of a trust interest in a unit trust includes a series of trust acquisitions or trust surrenders under an arrangement. (sec.70-ssec.4) If subsection (2) applies to a unit trust, the trust is not a widely held unit trust from immediately before the trust acquisition or trust surrender or the first acquisition or surrender under the arrangement. (sec.70-ssec.5) For subsection (1) , a person is taken to be beneficially entitled to all units held by the person and related persons of the person. - (a) units in the trust have been issued to the public; and - (b) 50 or more persons are beneficially entitled to the units in the trust; and - (c) more than 20 persons are beneficially entitled to at least 75% of the total units in the trust.