Event details

October 14, 2016
8:30am for 9:00am - 1:00pm
Location Cooper Grace Ward
Level 21
400 George Street
Contact T - +61 7 3231 2400 events@cgw.com.au

Discretionary trusts are still the most common structure in the SME sector for carrying on businesses and holding investments.

However, our experience suggests that potential strategies for the more effective use of trusts and many basic principles relating to the use of trusts are not well understood (for example, determining who are eligible beneficiaries and the circumstances in which trust deeds can be amended).

In this half-day interactive seminar we will utilise case studies (drawn from CGW files) to look at a range of trust strategies and issues, which are listed below.

  • Strategies to avoid problems that arise with distributing to a new corporate beneficiary if the distributing trust has made a family trust election and the test individual has died.
  • If a person is an excluded beneficiary, can the trustee distribute to a related trust in which that person is an eligible beneficiary?
  • Where a trust deed allows the trustee to transfer income or capital to another trust that is not included in the list of eligible beneficiaries, does this allow the trustee to make an effective income distribution to that other trust?
  • What are the limitations on a trustee’s power to amend the trust deed and can ‘problematic’ variation clauses be amended to get rid of the problem?
  • Strategies to transfer control of ‘non-family’ discretionary trusts to new parties and lock in proportional entitlements to income without triggering duty or CGT consequences.
  • How can you protect against the consequences of a trust that has made an FTE distributing outside the family group?
  • Are there any remedies that are available if a company has made an IEE and the shares in the company are sold to a third party who is not part of the family group?
  • Strategies to allow a trust to pass on franking credits even if the trust has no net income.
  • Can a trustee distribute to a corporate beneficiary in which the trustee holds all the shares?
  • What happens if all copies of a trust deed have been lost?
  • Can a trustee make interim capital distributions from a revaluation reserve?
  • Issues with extending the vesting date for trusts?
  • Is there such a thing as a ‘resettlement’?

We hope that you will be able to join us.