Many clients utilise trusts to hold income-earning assets and investments. The Income Tax Act 2007 includes specific rules on how trusts are classified, and on how trust income and distributions are taxed.

Part 1 – Beneficiaries and Complying Trust Status

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

Part 2 – Distributions, Resettlement and Disclosure

The focus of this webinar will be on taxation issues associated with distributions and resettlements, compliance issues such as the foreign trust disclosure rules and new financial reporting requirements.

Issues examined will include:

  • How are resettlements and distributions of trust assets treated from an income tax and GST perspective?
  • When can forgiven debts be clawed back as income?
  • How are distributions from foreign trusts and inheritances taxed?
  • What disclosures must I make as a NZ resident trustee of a foreign trust?
  • What are the new financial reporting and disclosure requirements in relation to complying and non-complying trusts?

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 the foreign trust disclosure requirements
  • Be aware of the new financial reporting and disclosure obligations of trusts

This 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.

$195 each session or $295 for both (ex gst)

PRESENTER

Stephen Richards, Partner – Tax Advisory, Findex/Crowe

Stephen Richards is Partner with Tax Advisory for Findex/Crowe, the largest accounting firm in New Zealand specialising in the SME/HNWI space. Stephen has been practising in tax advisory for 20 years and is a sought-after speaker on tax topics, including for CCH and TEO Training courses and lecturing at the University of Otago. Stephen is renowned for making complex topics understandable.