Preparing end of year trustee resolutions is often viewed primarily through a tax lens but it must be remembered that the actions of trustees have real legal and commercial implications and are affected by equitable principles. With an increase in wealth held by private trusts, there is a continuing focus on the actions of trustees of family trusts and the broader non-tax consequences of those actions.
Having an understanding of these consequences is critical for all advisors who are involved in preparing trustee resolutions each year.
The session covers:
- Validly appointing of income or capital, including making a valid decision to appoint income or capital of a trustee and the basis on which the decisions of a trustee to distribute income and capital can be reviewed; and
- Broader issues with conferring entitlements on beneficiaries, including asset protection, limitations periods and family law considerations.