The government signaled in the last budget that it intends lifting the Trust income tax rate to 39% to align it with the top personal tax rate which is also 39%. The Taxation (Annual Rates 2023-24, Multinational Tax, and Remedial Matters) Bill including the proposal was introduced to Parliament on the 18 May 2023 with the closing date for submissions being 30 June 2023. The proposal is not legislation until it is enacted and is subject to change through the parliamentary process. The Hon David Parker stated in his press release “The change does not ordinarily target smaller family Trusts, who can continue to use existing rules to allocate Trust income to beneficiaries to be taxed at their personal tax rates”.
If enacted we will touch base with affected clients to discuss further.
Our team have a diverse range of skills and experience which we utilise to ensure that you are always fully supported to make informed decisions and enable your business to head along a path of success.
We aim to develop close relationships so we understand each client's business and the direction they want to head. Our support is tailored to the specific requirements of the client to ensure goals are reached.
