ATO’s Trust Risk Rules (What You Need To Know)

ATO’s Trust Risk Rules (What You Need To Know)

The ATO has set rules to identify risk compliance issues The ATO says it recognises that most trusts are used appropriately and for legitimate purposes. It says it will continue to help those who make genuine mistakes or are uncertain about how the law applies to...
Streaming Trust Capital Gains And Franked Distributions

Streaming Trust Capital Gains And Franked Distributions

This information is for trustees and beneficiaries of trusts that make capital gains or received franked distributions. Trust Capital Gains A recent statement from ATO declares: If not prevented by the trust deed, you can stream a trust’s capital gains and...
Family Trusts | Pros, Cons And Processes

Family Trusts | Pros, Cons And Processes

What is a Family Trust and why I might need one? Trusts are an important and very useful concept for managing your financial affairs, as well as for estate planning. The purpose of the family trust is for you to progressively transfer your assets to the trusts, so...
Trust Compliance With Anti-avoidance Rules

Trust Compliance With Anti-avoidance Rules

Is your trust complying with anti-avoidance rules? The ATO advised recently that it is reviewing selected trusts’ compliance with anti-avoidance rules under S 100AA and 100AB of ITAA 1936. The purpose of anti-avoidance rules These anti-avoidance rules are...
Property Developers Warned On Contrived Structures

Property Developers Warned On Contrived Structures

ATO warns property developers not to muddy the income /capital divide  The Tax Office has warned property developers against using trusts to return the proceeds from projects as capital gains instead of income. Profits from property developments that have been treated...
2014 Year End Tax Tips For Trusts

2014 Year End Tax Tips For Trusts

Unpaid trust distributions Trust distributions to a private company for the 2013 tax year, which are unpaid at end of the 2014 tax year may be a Division 7A loan unless paid out to the company or converted to a complying Division 7A loan by the lodgement date of the...