The Full Federal Court had previously held that the terms of a trust deed prevail in determining the "income of the trust" to which beneficiaries are presently entitled and assessed to tax. The Full Court also confirmed that the proportionate approach was correct, even if a beneficiary is only allocated a particular sum by the trustee. The High Court's decision sets the scene for a very interesting period in the taxation of trusts landscape.
This event explained and critically analysed the High Court's decision and reflected back on the history of the provisions going back before Richardson to clarity why the issues in Bamford have caused such difficulty. This event discussed whether the High Court's decision resolves these issues. This event also considered the questions now facing the Commissioner and explained the possible options available to the ATO as a result of the judgment.