WebDec 30, 2012 · However, in relation to franking credits and capital gains, this has now been alleviated by the specific streaming provisions (see below). ... A farm trust is a discretionary trust that is used to own land for primary production while also providing flexibility so the property can eventually be transferred to other family members. WebIt means trusts with this election can stream things like franking credits on investment income to their beneficiaries, which ordinarily cannot be done in a typical Discretionary Trust. Let’s take a look at ways family trusts can help with running the family business and protecting the family’s wealth. Asset Protection
Australia - Taxation of cross-border M & A - KPMG Global
Webthe trustee of a discretionary trust in Australia wishes to ‘stream’ capital gains and franked dividends (and accompanying franking credits) to eligible beneficiaries. Broadly, the streaming of a capital gain is potentially attractive where the recipient beneficiary can apply their own capital losses (or the CGT discount and/or the 50% small WebThe credits flow from post-31 December 1997 shares and the beneficiary is an individual who does not receive more than $5,000 in franking credits from all sources during the … bus to nottingham racecourse
Discretionary trusts and tax planning: tips and traps
WebMar 23, 2024 · 2) Not being a fixed trust will affect the passing on of franking credits to beneficiaries. And a family trust election or interposed entity election won’t fix this issue, since those are only available to discretionary trusts. 3) Not being a fixed trust can affect the continuity of ownership test. Practical Compliance Guideline PCG 2016/16 WebThe tax advantage of this strategy is where the beneficiary can obtain a refund of the excess franking credits or can utilise the excess credits to offset a tax liability on other income. In relation to tax losses more broadly, there is a very complex set of provisions that deal with discretionary trusts’ ability or otherwise to carry-forward ... WebSep 4, 2024 · Unlike a ‘discretionary trust’, ... For certain tax attributes to flow-through a unit trust, e.g. franking credits, and for losses to be carried forward, the trust will need … bust on someone