Trusts – the current state of play
Tax event | Tuesday, 28 August 2012
We are pleased to invite you to attend a seminar about the current state of play in relation to the taxation of trusts.
During the last 12 months, various issues with the taxation of trusts have been in the spotlight. From a legislative perspective, amendments to allow the streaming of dividends and capital gains were introduced. Furthermore, the Government initiated the first step towards significant reform of the taxation of trusts by releasing a consultation paper, Modernising the taxation of trust income, in November 2011. In addition, a Treasury discussion paper on the definition of fixed trust is scheduled for release this year. On the administrative front, the ATO has also been busy with the issue of draft rulings on the application of the proportionate view following the decision in FCT v Bamford (2010) 75 ATR 1, and the meaning of ‘income’ in section 97 of the Income Tax Assessment Act 1936.
At this seminar we will cover topics including:
- The status of the rewrite of Division 6
- The meaning of income of a trust, including discussion of the draft taxation ruling TR 2012/D1
- Application of the proportionate view under draft taxation determination TD 2012/D5 and how this is influenced by the trust deed and the wording of any distribution resolution
- Recent case law on the taxation of trusts
- Streaming of capital gains and dividends.