With the ATO signalling its interest in fixed trusts,
professional advisers will need to be on the lookout for issues in
this area, says Scott Hay-Bartlem, tax partner at Brisbane law firm
Cooper Grace Ward.
'A number of tax outcomes depend on a trust being a
'fixed trust' and the beneficiaries having a 'fixed
entitlement',' Mr Hay-Bartlem said.
'With the release of PCG 2016/D16, the ATO has highlighted
its interest in this area, so it will be important to identify when
it will be best to have a fixed trust and what we should look
for,' he said.
'We see many unit trusts that are not fixed trusts,' Mr
Hay-Bartlem continued. 'It is important to look at not just the
circumstances but also the trust deed. For example the trust deed
must not allow the trustee to be able to redeem units without the
consent of the affected unitholder, and there must be no discretion
in whether and how the trustee distributes income and
Mr Hay-Bartlem will discuss these issues and more at Cooper
Grace Ward's upcoming Adviser Training Day on Friday 24 March.
Now in its eighth year, the Adviser Training Day is an intensive
full-day conference hosted at the Mercure Hotel Brisbane, covering
a range of topics designed to assist professional advisers in the
issues they face on a day-to-day basis.
It will be accompanied by the Annual SMSF Conference on Thursday
23 March, which includes an SMSF Back to Basics session, update on
the previous year in the SMSF space followed by an exclusive
workshop addressing SMSF and estate planning issues after the 2016
Both the Adviser Training Day and the Annual SMSF Conference
will feature presentations from lawyers specialising in tax,
revenue, superannuation, estate planning, workplace relations and
other areas of commercial law.
Cooper Grace Ward is a leading Australian law firm based in
This publication is for information only and is not legal
advice. You should obtain advice that is specific to your
circumstances and not rely on this publication as legal advice. If
there are any issues you would like us to advise you on arising
from this publication, please contact Cooper Grace Ward
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