New South Wales Consolidated Acts

DUTIES ACT 1997 - SECT 29

29 Partnership interests

(1) The dutiable value of a partnership interest ( "DV") is to be determined in accordance with the following formula:

"A" is the value of the partnership interest, or so much of the consideration for the dutiable transaction as relates to the partnership interest, whichever is the greater, and
"X" is the unencumbered value of all dutiable property of the partnership, and
"Y" is the unencumbered value of all assets of the partnership.

(2) For the purposes of this section and despite subsection (1), the unencumbered value of dutiable property that is a business asset to which section 28 applies is the dutiable value of the business asset determined in accordance with section 28.

(3) If the property of a partnership includes a land-related asset and an interest in the land-related asset is transferred as a result of the transfer of a partnership interest, the unencumbered value of all dutiable property of the partnership (“X” in subsection (1)) is to be reduced by the unencumbered value of the interest in the land-related asset that is transferred, but only if ad valorem duty has been paid or is payable on the transfer of the interest in the land-related asset.

(4) For the purposes of subsection (3), each of the following items of dutiable property is a "land-related asset":

(a) land in New South Wales,

(b) transferable floor space,

(c) a land use entitlement,

(d) an interest in an item of dutiable property referred to in paragraph (a), (b) or (c).