Avoid tax with trust distribution resolution

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Do you have a Discretionary (Family) Trust?

In the lead-up to 30 June, you can avoid paying an extra tax of up to 47% of Trust profits by completing your Trust Distribution Resolutions before 30 June.

If a Trustee of a Trust fails to make a resolution to distribute the income of the Trust before the end of the financial year, the Trustee may be assessed by the Australian Taxation Office (ATO) on the Trust income at the highest marginal tax rate of 47%, rather than the intended beneficiaries being taxed at generally much lower tax rates.

How we can help

  • Review of your prior year Trust Distribution Resolution
  • Confirmation with you of the estimated Trust income of your Trust for the year ended 30 June
  • Review of your Trust Deed to ensure that the income definition and distribution clauses in your Trust Deed allow the proposed Trust Distribution Resolution for 30 June
  • Advice on the most tax effective distribution of this estimated Trust income

  • Preparation of Trust Distribution Resolution and ensuring it is signed by the Trustees PRIOR to 30 June.

Contact Us

The sooner we get started with preparing your Trust Distribution Resolutions, the sooner we can help you save tax - well before 30 June for sufficient time to implement tax saving strategies.


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