Key Documents
On 21 November 2011, the Assistant Treasurer released an initial consultation paper, Modernising the taxation of trust income — options for reform, which outlined three possible models for taxing trust income. More than 30 written submissions were received and stakeholder consultation forums were well attended. The consultation highlighted, in particular, a desire for more information about two of the proposed models — the ‘trustee assessment and deduction’ model, and the ‘proportionate within class’ model.
The attached policy options paper responds to the consultations and further articulates the design of those two models, which have been renamed the ‘economic benefits model’ and the ‘proportionate assessment model’ to better reflect their objectives. These reform options have been developed drawing on the expertise of the private sector and in consultation with the Australian Taxation Office.
The Government welcomes stakeholder views on this paper and Treasury will conduct workshops in Brisbane (19 November 2012), Sydney (20-21 November 2012) and Melbourne (26-27 November 2012) with interested stakeholders. If you would like to attend one of the workshops please email trust_rewrite@treasury.gov.au with your name, contact details and which workshop you would like to attend before close of business 2 November 2012. Further details regarding the workshops will be provided closer to the dates.