This two-webinar course is suited to:

• accountants and lawyers who act for trusts
• accountants and lawyers who are trustees of trusts and want to ensure the trust is meeting its tax obligations.

PART 1 – Beneficiary Income and Complying Trust Status

Trusts can hold income-earning assets and investments resulting in the derivation of assessable income that either needs to be retained as trustee income or distributed as beneficiary income. The Income Tax Act 2007 includes specific rules on how trusts are classified, and how trust income and distributions are taxed.

The focus of this webinar will be on taxation issues associated with beneficiary income and ensuring your client’s trust maintains complying trust status. Issues examined will include:

• When can deemed income under tax law, e.g. FIF income, be distributed to beneficiaries?
• How do the timing rules around beneficiary income work?
• How are tax credits allocated to beneficiaries?
• What sorts of trustee income prevent a trust being a complying trust
• Who is a settlor for tax purposes?
• What happens when the trust settlors, trustees or beneficiaries become non-resident?

Upon satisfactory completion of this activity, you will be able to:

• understand the tax rules around beneficiary income
• be better equipped to ensure your clients’ trusts remain complying trusts
• identify the tax implications of settlors, trustees or beneficiaries becoming non-resident

1.00 CPD hours (including Q&A)

To purchase Part 1 only, please click here

PART 2 – Taxation of Distributions

Trusts can hold income-earning assets and investments resulting in the accumulation of income and capital gains within the Trust. The Income Tax Act 2007 includes specific rules on how trusts are classified, and on how distributions are taxed based on the trust’s classification.

The focus of this webinar will be on taxation issues associated with distributions from complying, foreign, and non-complying trusts. It will also consider issues around forgiveness of trustee debt and how distributions may result in the clawing back of forgiven debt as income.

Issues examined will include:

• How are resettlements and distributions of trust assets treated from an income tax and GST perspective?
• When trustee debts can be forgiven for natural love and affection, and when that forgiven debt may be clawed back as income?
• How are distributions from foreign trusts and foreign inheritances are taxed?

Upon satisfactory completion of this activity, you will be able to:

• understand how distributions from complying, foreign and non-complying trusts are taxed
• identify potential tax issues associated with trust resettlement
• be aware of potential issues around the trustee tax rate change

1.00 CPD hours (including Q&A)

To purchase Part 2 only, please click here

PRESENTER

Stephen Richards, Partner – Tax Advisory Findex

Stephen Richards is Partner in the Tax Advisory team at Findex. Findex is one of the largest providers of integrated financial advisory and accounting services to individuals, SMEs, and corporates in Australasia.

Stephen has been practising in tax advisory for over 25 years and is a sought-after speaker on tax topics, including for CCH, CAANZ, and TEO Training courses and lecturing in taxation practice at the University of Otago.

Stephen is renowned for making complex topics understandable.