The Commissioner of Taxation has demonstrated a renewed interest in trust distributions in recent years. This presentation considers some of the commonly encountered issues that arise when preparing trust distribution minutes. It provides useful insights on how to achieve desired outcomes and minimise exposures in this difficult area. Topics covered include:
- what to look for in the trust deed
- drafting trust distribution minutes: common problems and suggested solutions
- the tax net income and trust income debate: state of play
- practical implications of recent cases
- pitfalls when income streaming and the significance of PS LA 2005/1 (GA)
- effective capital distributions.