3BExemptions from holding absentee controlling interests

3B Exemptions from holding absentee controlling interests

(1) Despite section 3A, an absentee person is taken not to hold an absentee controlling interest in a corporation if the absentee person holds an exemption under subsection (2).

(2) The Treasurer, for the purposes of subsection (1), may, in writing, exempt an absentee person who holds an absentee controlling interest in a corporation if the Treasurer is satisfied that, having regard to any one or more of the following matters, the absentee person should not be taken to hold that interest—

(a) the nature and degree of ownership and control the absentee person, or that person acting together with another absentee person, has in the corporation;

(b) the practical influence the absentee person, or that person acting together with another absentee person, exerts to determine or influence, directly or indirectly, the outcome of decisions about the corporation's financial and operating policies;

(c) any practice or behaviour of the absentee person, or that person acting together with another absentee person, which affects the corporation's financial or operating policies;

(d) any other relevant circumstances.

S. 3B(3)–(6) repealed by No. 67/2017 s. 11.

S. 3BA inserted by No. 67/2017 s. 12.

3BA Exemption—land held on trust under absentee trusts

(1) For the purposes of Part 3, if an absentee beneficiary holds an exemption under subsection (2) in relation to an absentee trust that is—

(a) a fixed trust, the absentee beneficiary is taken to hold their beneficial interest in the trust as a beneficiary who is not an absentee beneficiary; or

(b) a unit trust scheme, the absentee beneficiary is taken to be a unitholder in the scheme who is not an absentee beneficiary; or

(c) a discretionary trust, the absentee beneficiary is taken to be a specified beneficiary of the trust who is not an absentee beneficiary.

(2) The Treasurer, for the purposes of subsection (1), may, in writing, exempt an absentee beneficiary in relation to an absentee trust if the Treasurer is satisfied that, having regard to any one or more of the following matters, the absentee beneficiary should not be treated as an absentee beneficiary in relation to the trust—

(a) the nature and degree of the absentee beneficiary's interest in the trust;

(b) the practical influence the absentee beneficiary exerts or any rights the absentee beneficiary enforces to determine or influence, directly or indirectly, the outcome of decisions about the administration and conduct of the trust;

(c) any practice or behaviour of the absentee beneficiary affecting the trustee's administration and conduct of the trust;