Published on 01 Sep 10
by "TAXATION IN AUSTRALIA" JOURNAL ARTICLE
This article examines whether the vesting date of a trust can be extended to prevent the trust terminating and thus prevent adverse tax consequences arising. The rationale for the "rule against perpetuities", and its relevance for Australian trusts in 2010, is discussed. Consideration is given to the possibility of "domiciling" a trust in SA (where the rule against perpetuities was abolished in 1996) and avoiding the need for a vesting date.
Michael Butler FTIA is a Partner at Finlaysons' Tax & Revenue Group. Michael advises both domestic
and foreign clients on federal, international and state tax matters, and has a special interest in property tax
issues. Michael is the author of the book "Australian Federal Company Taxation" and a regular contributor to Taxation
Institute of Australia events.
Current at 23 March 2009
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