

If you acquired your stapled securities as part of a corporate restructure you will, during the restructure, have owned individual securities that were not stapled. The first element of the cost base and reduced cost base of each of Cathy’s units in JKL Unit Trust will be $1.60 ($4.00 × 40%). On this basis, the first element of the cost base and reduced cost base of each of Cathy’s shares in JKL Ltd will be $2.40 ($4.00 × 60%). She paid $4.00 for each stapled security, and on the basis of the information provided to her by the issuer of the stapled securities, she determined that 60% of the amount paid was attributable to the value of the share and 40% to the value of the unit. On 1 September 2002, Cathy acquired 100 JKL stapled securities, which comprised a share in JKL Ltd and a unit in the JKL Unit Trust. The issuer of the stapled security may provide assistance in determining these amounts.Įxample 42: Apportionment of cost base and reduced cost base to the separate securities One reasonable basis of apportionment is to have regard to the portion of the value of the stapled security that each security represented. If you acquired the securities after they were stapled (for example, you bought the stapled securities on the ASX), you do this by apportioning, on a reasonable basis, the amount you paid to acquire the stapled security (and any other relevant costs) between the various securities that are stapled.


Many different types of securities can be stapled together. p.Stapled securities are created when two or more different securities are legally bound together so that they cannot be sold separately. To sort according to its staple as, to staple cotton.
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Regularly produced or manufactured in large quantities īelonging to wholesale traffic principal chief. Established in commerce occupying the markets settled Īs, a staple trade. Pertaining to, or being market of staple for, commodities Īs, a staple town. A shaft, smaller and shorter than the principal one, Points to be driven into wood, to hold a hook, pin, or the like. A loop of iron, or a bar or wire, bent and formed with two Staple a fine staple a long or short staple. The fiber of wool, cotton, flax, or the like as, a coarse The principal constituent in anything chief item. The principal commodity of traffic in a market a principalĬommodity or production of a country or district as, wheat, maize, andĬotton are great staples of the United States. Hence: Place of supply source fountain head. Merchants brought commodities for sale or exportation in bulk a placeįor wholesale traffic. A settled mart an emporium a city or town to which
