Northern Territory Consolidated Acts

STAMP DUTY ACT - SECT 56BE

(1) Duty is not payable on a conveyance under section 56BC if the conveyance of the call option occurred, and the put option came into existence, before 23 June 2004.

(2) Duty is not payable under section 56BC(2) if the Commissioner is satisfied that:

(a) the call option and the put option are part of a scheme of call options and put options granted by the proprietors of a business, the only purpose of which is to facilitate the continuation of the business by one or some of the proprietors ( the continuing proprietors );

(b) the call options and put options forming the scheme are only exercisable on the occurrence of a specified event that would cause the continuing proprietors to seek to acquire the interest in the business of another of the proprietors; and

(c) the call option and the put option are not a tax avoidance scheme or part of a tax avoidance scheme.

(3) In subsection (2):

proprietor , of a business, means a natural person who is:

(a) if the business is a partnership - a partner in the business;

(b) if the business is a company - a shareholder in the business;

(c) if the business is a unit trust scheme - a unit holder in the business; or

(d) if (a), (b) and (c) do not apply - a person determined by the Commissioner to be a proprietor of the business.