STAMP DUTIES ACT 1923 - SECT 95

STAMP DUTIES ACT 1923 - SECT 95

95—Indirect interests

        (1)         If a person or group has a direct interest in a private company or a private unit trust scheme (entity A) which is related to another private company or a private unit trust scheme (entity B), the person or group has an "indirect interest" in entity B.

        (2)         An indirect interest that a person or group has in an entity is to be expressed as a proportionate interest.

        (3)         The proportionate interest is calculated by multiplying together—

            (a)         a fraction representing the proportionate interest of the person or group in entity A; and

            (b)         a fraction representing entity A's proportionate interest in entity B,

and expressing the result as a percentage.

Example—

X holds a proportionate interest of 33⅓% in entity A which in turn holds a 75% proportionate interest in entity B which in turn holds a 50% proportionate interest in entity C. In this case the X's indirect interest in entity C is to be expressed as a proportionate interest of 12.5%.