Contact us

Allan Swan

Karen Ho

Naomi Swan
Law Clerk


Estate Planning Equation Preventative Law

Level 13, 200 Queen St,
Melbourne Vic 3000
+613 8600 6906


Areas of Practice

Asset Protection | Estate Planning | Ownership of Funding | Strategy | Structuring | Superannuation | Tax Planning | Trusts


One of the features of Australian law is that the range of choices in the way assets are held includes a wide range of trust options.  The use of lifetime, testamentary and protective TRUSTS can serve a crucial role in ensuring the protection of assets, appropriate succession of the control of assets and minimising the incidence of tax payable on those assets. 

In recent times, there have been significant changes to the taxation of trusts and the Federal Government has announced a rewrite of the tax legislation as they affect trusts. At Estate Planning Equation, we provide advice and assist clients with:

  • Establishments of trusts including family discretionary trusts, capital reserved trusts, special disability and other protective trusts, as well as a range of other special purpose trusts;
  • Reviews and amendments of trusts in light of the recent changes to the taxation of trusts regime;
  • Preparing and advising on the use of excepted proceeds trusts including child support trusts, estate proceeds trusts and superannuation death benefits trusts; and
  • Changes of trustees and other controlling positions, either to take effect immediately or at some point in the future, eg on the death of the current controller.

Case Study

Chen is a widower.  During her lifetime, his late wife Mei Ling established a capital reserved trust with both her and Chen as the income beneficiaries.  On the death of both of Chen and Mei Ling, their two children Darrel and Sophie are to take control of the trust and have equal access to the trust capital.  The assets in the capital reserved trust comprise shares, real estate and cash.  There has been significant income generated in the fund and the trustees have decided to sell a parcel of shares.  The issues the trustees should consider include:

  • Who is to be taxed on the capital gain triggered on the sale of shares;
  • Whether there is the ability to stream different classes of income to particular beneficiaries; and
  • The definition of income provided in the trust deed and the significance of that on the distribution of income or capital gains.