09/09/2026
The High Court has delivered some welcome clarity for private business groups using discretionary trusts and corporate beneficiaries.
In Commissioner of Taxation v Bendel, the Court rejected the ATO’s long-standing position that an unpaid trust distribution to a corporate beneficiary will automatically be treated as a loan under Division 7A.
It’s an important decision, but it doesn’t mean existing loan arrangements can simply be unwound or that other tax integrity rules no longer apply. With further changes to the taxation of trusts also proposed, now is a good time to understand what the decision could mean for your structure and future planning.
Read the full article for a breakdown of the decision, what happens to existing arrangements and what to keep an eye on next.
👉 Read the full article (https://ap1.hubs.ly/H01k4ZQ0)
The High Court has recently handed down an important decision that will impact many private business groups using discretionary trusts and corporate beneficiaries. In Commissioner of Taxation v...