As a security holder in Challenger Infrastructure Fund (CIF), your investment comprises one unit in CIF Investment Trust 1 ('CIF1') (ARSN 114 139 703) and one unit in CIF Investment Trust 2 ('CIF2') (ARSN 114 139 632). The Responsible Entity of CIF is Challenger Listed Investments Limited. These units are quoted and traded as if they were a single security ('stapled security'), although they are taxed on a different basis.
Distributions
As a CIF security holder you will receive a Distribution Statement each time CIF1 pays a distribution and a Dividend Statement each time CIF2 pays a dividend.
Annual Taxation Statements
As a CIF security holder you will receive an Annual Taxation Statement in August. The Annual Taxation Statement has been prepared on the assumption that you are an Australian resident individual taxpayer and includes important tax information that should assist you (in conjunction with other relevant ATO publications) in completing your Annual Income Tax Return. In any event, you should seek independent tax advice in completing your income tax return and generally in relation to the taxation implications associated with your investment in CIF.
For Australian resident individuals the distributions from CIF1 are recognized for tax purposes on a present entitlement basis rather than on a receipts basis. This means that distributions paid to you in February 2008 and August 2008 will need to be reflected in your 30 June 2008 income tax return. For tax purposes the distribution from CIF1 will generally comprise of taxable income and tax deferred amounts.
Security holders who are either Australian resident corporations or complying superannuation funds, or non-Australian residents should seek their own taxation advice with respect to the tax recognition of the distributions from CIF1 as well as the taxation implications associated with their investment in CIF.
