Private Wealth and Trust Disputes Notes

Trusts gains of foreign residents

In summary A recent Federal Court decision has put a major stumbling block in the path of non-resident beneficiaries of Australian discretionary trusts. …

TRUSTEES TAKE COMFORT – HIGH COURT UPHOLDS BROAD SCOPE OF EXONERATION CLAUSES

Summary Trustees often seek to limit their liability in the form of exoneration clauses in trust deeds. As such,  it is generally difficult for a …

Recent determinations by the Australian Tax Office perpetuate international tax trust morass

The Australian Tax Office has made two recent determinations which sink the law in this area into further confusion. The first draft determination, TD …

Australian Taxation Office targets investors seeking to adopt capital gains tax treatment on sale of shares

TAXING PRIVATE TRUSTS IN AUSTRALIA - A MOVING TARGET

The Australian revenue authorities have been very active recently issuing judgments, making pronouncements and intensifying enforcement activity, all …

Circular trust resolutions – family trusts to be taxed at 47% by Australian Government

Following on from the Australian Government’s announcement in the 2018-19 Budget, an Exposure Draft entitled Treasury Laws Amendment (Measures for a …

Australian tax law bites trust law on franking credits

The High Court of Australia has restored sanity in a long running saga in which a trustee purported to separate franking credits from the underlying …

Australian Board of Taxation reviews residency test for individuals

On 9 July 2018, the Board of Taxation (the "Board") released its self-initiated report ‘Review of the Income Tax Residency Rules for Individuals’ (the …

The Australian Tax Office broadens its targeting of private groups

Having focused on the top 320 privately owned and wealthy groups ("Private Groups") earlier this year, the Australian Tax Office ("ATO") Tax …

Private Groups and Trusts under ATO scrutiny

The ATO in Australia continues to target privately owned and wealthy groups, with specific focus on groups with risky trust structures that exhibit …

Corporate tax rate cut - passive income exclusion

As part of the Australian Government’s Enterprise Tax Plan, the corporate tax rate has been reduced to 27.5 per cent for entities …

Labor's Family Trust Distribution Tax

In an audacious move to target income splitting, if elected, the Australian Labor Party (ALP) has announced that it …