Taxation of trusts: common issues in preparing trust deeds
Published Date: 16 Feb 2026
This article analyses the legal and practical issues that arise when trust deeds contain defects, ambiguities or unintended outcomes, with an outline of the types of problems that can arise and solutions to those problems including rectification and court-approved variations. The article considers the practical measures for using these solutions to drafting issues, including when amendment powers can be exercised, the principles underpinning applications for rectification, and the use of the rule in Saunders v Vautier to amend. It also considers the role of revenue authorities in these processes and the implications for duty and tax concessions. Finally, the article provides a detailed overview of statutory powers enabling court approval of trust variations, together with practical guidance on evidentiary requirements, beneficiary representation, appointment of a contradictor, and key considerations when seeking judicial advice or approval.
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Details
- Published By: Philip Bender
- Published On:16 Feb 2026
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