DUTIES ACT 2001 - SECT 267
What is an exempt short-term debenture
DUTIES ACT 2001 - SECT 267
What is an exempt short-term debenture
267 What is an exempt short-term debenture
(1) A debenture issued by a
public company is an
"exempt short-term debenture" if—
(a) the amount repayable under the
debenture is repayable within 6 months after it is issued or is not repayable
within a fixed or certain period but the amount is later paid or repaid within
6 months after it is issued; and
(b) the debenture is not part of an
arrangement, the effect of which is to extend the period for repayment of an
amount to more than 6 months after it is issued.
(2) If a debenture is
reissued or renewed, the combined terms of debentures is taken into account
when deciding when the amount under the debenture is repayable for subsection
(1) .
(3) Also, for subsection (1) , debentures subscribed for by a
corporation include debentures subscribed for by a related body corporate
unless the commissioner decides otherwise.
