Section CD 10 — Income Tax Act 2007: Bonus issue by foreign unit trust instead of money or property

CD 10 Bonus issue by foreign unit trust instead of money or property Interest absolutely vested in unit holder (1) A bonus issue made to a unit holder by a unit trust that is a foreign company is a dividend for the unit holder if the issue is made under an arrangement or decision that the unit trust will make the bonus issue instead of causing a beneficial interest in money or property of the unit trust to vest absolutely in the unit holder. Amount of dividend (2) The amount of the dividend is the value of the money or property in which a beneficial interest would have vested in the unit holder if the bonus issue had not been made. Defined in this Act: bonus issue , dividend , foreign company , unit holder , unit trust Compare: 2004 No 35 s CD 7C