By Domenic Festa (Accredited Tax Specialist and Chartered Tax Adviser) The use of testamentary trusts in estate planning (particularly for clients with a reasonable level of income producing investments) is relatively standard practice. It is not uncommon in preparing
Discretionary Trust Deeds – Issues in Modern Drafting
By Domenic Festa (Accredited Tax Specialist and Chartered Tax Adviser) Background Various states around Australia have introduced provisions to impose surcharge on foreign person, both in respect of purchaser duty and land tax. Each of the states include special
Owies Case – will it cause a knee-jerk reaction?
By Domenic Festa (Accredited Tax Specialist and Chartered Tax Adviser) Key Takeaways No need for rash action as a result of the decision. In the usual case, beneficiaries named are those who are intended to benefit immediately after establishment,
Splitter blocks and other property developments – Tax issues
By Domenic Festa (Accredited Tax Specialist and Chartered Tax Adviser) At some stage property owners may consider a development of property, whether that be a particular project (acquisition of a splitter block or proposed unit development), sale of recently acquired
Reallocating Estate Assets – After Death Without Tax
By Domenic Festa (Accredited Tax Specialist and Chartered Tax Adviser) Key Points Many estates pass assets equally to children. After death, one or more children may decide they wish to take exclusive ownership over certain assets. Using the normal approaches,
Reallocating estate assets – after death without tax
By Domenic Festa (Accredited Tax Specialist and Chartered Tax Adviser) A common estate plan is to draft the Will to pass the estate to identified beneficiaries (either named persons or testamentary trusts in equal shares). The portion of the estate
Trust Splitting: Better alternatives for consideration
By Domenic Festa (Accredited Tax Specialist and Chartered Tax Adviser) Trust splitting is a process that involves appointing a separate trustee for certain identified assets of a single trust. The purpose of a trust split is to separate the control
Trust Splitting: Opportunities Remain!
By Domenic Festa (Accredited Tax Specialist and Chartered Tax Adviser) On occasions, it is desirable to restructure the assets of a trust. The motivations for a restructure can include: succession planning, separating control of certain assets to different persons, separating
ATO attack on Stapled Structures: Does it affect Private Business
By Domenic Festa (Accredited Tax Specialist and Chartered Tax Adviser) The ATO has had on its radar what it describes as stapled structures. It has identified a number of concerns that it has with stapled structures. Then in the May
Effect of Trust Vesting Date: ATO confirms our long-held view!
By Domenic Festa (Accredited Tax Specialist and Chartered Tax Adviser) Most trusts, and all private discretionary trusts, have what is known as a vesting date which is described differently in different trust deeds e.g. Vesting Date, Perpetuity Date, Termination Date,