Guardian & Appointor update for Family Trust
The Guardian & Appointor update and change for many reasons. People may wish to retire as an Appointor & Guardian. Perhaps you would like to add your spouse as an additional Appointor & Guardian. The Appointor & Guardian Update:
* removes Appointors & Guardians
* removes dead Appointors & Guardians
* confirms remaining Appointors & Guardians
Example: Mum and Dad are the Appointors. Mum dies. Dad continues as the Appointor. Dad is happy to control the Family Trust by himself. Nothing in the Trust Deed or Mum’s Will states anything different. Therefore, all Dad is doing in the Appointor Update is formally removing Mum as Appointor. Mum’s executor or next of kin signs on Mum’s behalf. The Family Trust may have a system or procedure for dealing with dead Appointors.
Any Stamp Duty or CGT?
Stamp Duty is payable when assets are transferred from one person to another person. Capital Gains Tax is payable when you 'dispose' of an asset. However, by changing the Appointors you do neither. The class of beneficiaries remains the same. There is no change to the object or purpose of the Family Trust. There is generally no Stamp Duty or CGT payable in Australia.
Trustee vs Appointor
Who is in charge? Is it the Trustee that 'owns' the assets? No, the Appointor is god. The Appointor bosses the Trustee. The Trustee looks like it is in control, as it has the assets in its name. However, the Trustee takes it marching orders from the Appointor. The Appointor can sack the Trustee on a whim, for no reason at all. For example, the Trustee has nothing to do with this Deed of Variation. The variation relates to the Appointors only. The Trustee is not even party to the Deed of Variation.
Telephone us as you build the Appointor Update. We can help you answer the questions
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3. Or update for Bamford streaming PLUS the Deed PLUS update the Appointor & Trustee:
To prepare the Annual Trust Distribution Minutes:
1. To deal with Division 7A (loan from your company to the Family Trust):
2. Or, to forgive the 'loan account' and UPEs (loans from humans to Family Trust):
To wind up and vest the Family Trust, when you no longer want it: