Northern Territory Numbered Acts

PAYROLL TAX ACT 2009 (NO 18 OF 2009) - SECT 78

    (1)     An entity has an aggregate interest in a corporation if:

    (a)     the entity has a direct interest and 1 or more indirect interests in the corporation; or

    (b)     the entity has more than 1 indirect interest in the corporation.

    (2)     The value of the aggregate interest of an entity in a corporation is the sum of the following:

    (a)     the value of the direct interest (if any) of the entity in the corporation;

    (b)     the value of each indirect interest of the entity in the corporation.

    (3)     For example:

    (a)     an entity has a direct interest (with a value of 40%) in corporation B; and

    (b)     the entity also has a direct interest (with a value of 25%) in corporation A, which in turn has a direct interest (with a value of 60%) in corporation B. Accordingly, the entity also has an indirect interest in corporation B with a value of 15% (that is, 25% × 60%); and

    (c)     the value of the entity's aggregate interest in corporation B is the sum of the direct interest (40%) and the indirect interest (15%), which is 55%; and

    (d)     accordingly, in this example, the entity has a controlling interest in corporation B (within the meaning of section 73).