11Genuine transfer of capital

11 Genuine transfer of capital

For section 10, a transfer of capital is a genuine transfer of capital if:

(a) the investor receives, as consideration for the transfer, shares in the company, or units in the trust, of a value that is equivalent to the value of the capital transferred; and

(b) the investor has a legal or equitable right to a share of the capital of the company or trust; and

(c) the investor has a legal or equitable right to receive dividends or distributions in accordance with the constituent documents of the company or the terms of the trust; and

(d) the investor is over 18 years of age.