Embodiments of apparatuses and methods for processing virtualization events in a layered virtualization architecture are disclosed. In one embodiment, an apparatus includes a hardware processor including event circuit to recognize a virtualization event, and evaluation circuit to determine whether to transfer control of the apparatus from a child guest to a parent guest in response to the virtualization event, wherein the child guest and the parent guest each include a bit per virtualization event to indicate whether the parent guest is to gain control when the virtualization event occurs.