12‑375 What this Subdivision is about12‑375 What this Subdivision is about

#### 12‑375 What this Subdivision is about A withholding MIT may be required to withhold an amount from a payment of its Australian sourced net income (other than dividends, interest and royalties) if the payment is made to an entity whose address, or place for payment, is outside Australia. If the payment is made to another entity, the withholding MIT is required to make information available to the recipient outlining certain details in relation to the payment. If a custodian receives a payment that is covered by that information, it is required to withhold an amount from any related later payment to an entity whose address, or place for payment, is outside Australia. If the later payment is made to another entity, the custodian is required to make information available in relation to that later payment. If an entity that is not a custodian receives a payment that is covered by that information, it is required to withhold an amount from that payment if a foreign resident becomes entitled to that payment. If a resident becomes entitled to the payment, the entity must make information available in relation to that payment. Where there is an obligation to withhold, the applicable withholding rate is determined by the nature of the country or territory in which the recipient’s address, place for payment or residency is located and whether the trust is a clean building managed investment trust. A managed investment trust is a clean building managed investment trust if it is a managed investment trust that holds one or more clean buildings and does not derive assessable income from any other taxable Australian property (other than certain assets that are reasonably incidental to a clean building). Table of sections Operative provisions 12‑383 Meaning of withholding MIT 12‑385 Withholding by withholding MITs 12‑390 Withholding by custodians and other entities 12‑395 Requirement to give notice or make information available 12‑405 Meaning of fund payment—general case 12‑410 Entity to whom payment is made 12‑415 Failure to give notice or make information available: administrative penalty 12‑420 Agency rules 12‑425 Meaning of clean building managed investment trust 12‑430 Meaning of clean building 12‑435 Meaning of non‑concessional MIT income 12‑436 Meaning of asset entity, operating entity, cross staple arrangement and stapled entity 12‑437 Meaning of MIT cross staple arrangement income 12‑438 MIT cross staple arrangement income—de minimis exception 12‑439 MIT cross staple arrangement income—approved economic infrastructure facility exception 12‑440 Transitional—MIT cross staple arrangement income 12‑441 Integrity rule—concessional cross staple rent cap 12‑442 Meaning of excepted MIT CSA income 12‑443 Concessional cross staple rent cap—existing lease with specified rent or rent method 12‑444 Concessional cross staple rent cap—general 12‑445 Asset entity to allocate deductions first against rental income that is not MIT cross staple arrangement income 12‑446 Meaning of MIT trading trust income 12‑447 Transitional—MIT trading trust income 12‑448 Meaning of MIT agricultural income, Australian agricultural land for rent and Division 6C land 12‑449 Transitional—MIT agricultural income 12‑450 Meaning of MIT residential housing income 12‑451 Transitional—MIT residential housing income 12‑452 Meaning of residential dwelling asset 12‑453 MIT agricultural income and MIT residential housing income—capital gains in relation to membership interests