We would like to bring to the attention of clients the implications of holding residential property in a discretionary trust.

Various states and territories impose stamp duty and land tax surcharges associated with residential properties, and the treatment of any potential foreign beneficiaries in a discretionary trust deed can be applied differently across the jurisdictions.

We will assist clients in updating their Trust Deeds to expressly exclude any ‘foreign’ beneficiaries.  For those clients potentially impacted, we will be in contact early in the New Year to advise of the necessary amendments and any consequences.

If you have any queries in relation to this please contact our office.