02/10/2025
ON THE BLOG l income from your trust: the rules + benefits π
Trust is one of the most *vital* values between you + your accountant.
But "trust" isn't just a value - it's also a specific entity structure that enables clients to distribute income + assets in a strategic + tax-effective way.
Despite being a commonly used entity structure in Australia, many clients are often confused about:
βοΈ How trusts work;
βοΈ How income is determined + distributed; and
βοΈ If a trust is a high-risk entity from an Australian Taxation Office (ATO) + tax perspective π
So, no time like the present to *trust* your accountant...
A trust is an obligation imposed on a person or other entity to hold a property for the benefit of beneficiaries, while in legal terms a trust is a relationship, not a legal entity.
Trusts are treated as taxpayer entities for the purpose of administration
In simple terms, a trust is a relationship between one entity (the trustee) who agrees to manage + control assets on behalf of others (the beneficiaries).
Wanna know more? Head to the link: https://cannygroup.com.au/blog/income-from-your-trust-the-rules-benefits-accountants-geelong/ xo