Discretionary trusts and landholder duty: part 2

A Matter of Trusts

Taxation in Australia Journal

Unexpected landholder duty liabilities can arise when land held by discretionary trusts are deemed to be held by landholders.

This article, which is Part 2 of 2, continues from Part 1 which introduced the often overlooked duty provisions which deem lands held under discretionary trusts to be held by a beneficiary of such a trust, who is either a landholder or linked entity of such a landholder. The article in Part 1 explored the various requirements and guidance set out by the different state and territory authorities to assist in interpreting these provisions, with a focus on New South Wales, Australian Capital Territory, Victoria and Tasmania.

Part 2 of this article continues to unpack the unexpected duty liabilities that can arise as a result of these provisions by looking at the differences between these provisions in Western Australia, Northern Territory, South Australia and Queensland. In addition, this part examines ways to ensure that these deeming rules do not inadvertently apply.

Download the full paper to continue reading: Discretionary trusts and landholder duty: part 2