Tax Traps for Trusts 2020 -28 May 2020 (On Demand)
Following the enactment of the Trusts Act 2019, lawyers and accountants have started the process of reviewing their clients’ trust structures to ensure they are “fit for purpose”. This review will often result in distributions being made, debts being forgiven, trust property being transferred to other structures, and trusts being varied, resettled or wound up. These changes will often give rise to tax consequences. It is critical that professional advisers ensure that their clients are aware of these tax implications and take steps to mitigate them.
ORIGINAL BROADCAST DATE
30 June 2020
- Learn about trustees’ personal liability for GST and income tax, including trustees’ obligations to withhold tax from distributions
- Understand the issues arising under the bright-line test, including the implications arising from nominations, changes in trustees, the resettlement of residential property, and the application of the main home exclusion
- Know what tax issues arise on distributions, including the distribution of “deemed income”, imputation credit streaming and substitution payments
- Learn about the GST and income tax implications arising on varying the terms of a trust and trust resettlements
- Understand that debt forgiveness programmes can give rise to a tax liability if distributions are made to certain beneficiaries or the trust is resettled
- Know when particulars about the trust are required to be disclosed to Inland Revenue
Accountants of all levels, tax lawyers, trust lawyers and others who act as trustee of clients’ trusts.
Stephen Tomlinson, Principal, Tomlinson Law
1.5 CPD Hours
On Demand Event
Complete online in your own time (Self-paced)