Duties Act 1997 No 123
Current version for 1 December 2014 to date (accessed 19 December 2014 at 17:33)
Chapter 4Part 3Section 161

161   Agreements for sale or issue of shares or units in landholder

(1)  For the purposes of this Chapter, if an agreement is made to purchase or issue a share or unit in a landholder, then, on and from the agreement liability date:
(a)  the purchaser or person to whom the unit or share is to be issued is taken to have an entitlement to a distribution of property of the landholder in the event of a distribution of all the property of the landholder (as if the purchase or interest acquired by the person were registered on the agreement liability date), and
(b)  in the case of an agreement to purchase a share or unit, the registered interest of the vendor in the unit or share is to be disregarded.
Note. Accordingly, the purchaser or person to whom a share or unit is issued under an agreement for the sale or issue of a share or unit in a landholder acquires an interest in the landholder on the agreement liability date.
(2)  The agreement liability date is the date on which the following occurs (whichever occurs first):
(a)  the agreement is completed,
(b)  the necessary transfer or title documents are delivered to the person acquiring the share or unit,
(c)  the consideration for the purchase or issue is paid,
(d)  the period of 12 months beginning on the date of first execution of the agreement, or such longer period as the Chief Commissioner may approve, expires.
(2A)  If:
(a)  at the time of acquisition of an interest by any person in a landholder that necessitates the lodgment of an acquisition statement under this Chapter, the person was the purchaser or person to whom a unit or share was to be issued under an uncompleted agreement for the purchase or issue of a share or unit in a landholder, and
(b)  the agreement is subsequently rescinded, annulled or otherwise terminated without completion,
the Chief Commissioner is to assess or reassess the statement on the basis that the purchaser or person to whom the unit or share was to be issued did not have an interest in the landholder as a result of the agreement.
(3)  This section does not apply in respect of shares or units in a landholder which is a listed company or a listed trust.
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