Should Family Trusts be outlawed?

Friday, 28 July 2017  Media Alerts

Associate Professor Dale Boccabella from the UNSW Business School is available to discuss the implications of changes to Family Trusts.

Federal Opposition Leader Bill Shorten may review family trusts if they are elected, with announcements around the proposal expected this Sunday.

“Discretionary trusts cannot be outlawed,” says Associate Professor Dale Boccabella. “However, the matter needs to be addressed. The reasons people set up family trusts can be complex, however often it is around tax minimisation and asset protection.”

Dale Boccabella is available this Sunday with reaction to the expected opposition announcement.

“A discretionary trust should not be looked on as a wayward child. However, there is something ‘not right’ with the tax treatment of family trusts – also known as discretionary trusts -while accountants and tax lawyers working with discretionary trusts know first-hand that the current income tax treatment easily fails the ‘smell test’.”

He says that on current settings, the cost to public revenue is easily above $2bn and growing as the number of these trusts continues to grow.

For further comment call Dale Boccabella on 0427 591208 or 02 9874 2539 or Email d.boccabella@unsw.edu.au

Media contact: Julian Lorkin: 02 9385 9887

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