Income Tax Act 2007 section 257MI

The no partnership requirement

Section 257MI prohibits the social enterprise, and any of its qualifying 90% social subsidiaries, from being a member of a partnership during the shorter applicable period.

• The restrictions in this section apply throughout the shorter applicable period.
• The social enterprise itself must not be a member of any partnership during that period.
• Each 90% social subsidiary of the social enterprise is also prohibited from being a member of any partnership.
• The term "partnership" includes a limited liability partnership.