Single Will – Tax Effective 3-Generation Testamentary Trust

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• Tax Effective 3-Generation Testamentary Trust Single Will

• $550 incl. GST

• Your Tax effective Single Will gets your assets to your family. Not the tax man.
  
  Every year, Australian taxpayers voluntarily pay the government millions of dollars in ‘death taxes’.
  
  Are you going to be one of them? Proper Estate Planning ensures that your estate goes to those you care about. Not the Tax Man.

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• ChecklistSample Document

Your Tax effective Single Will gets your assets to your family. Not the tax man.

And to the tax man I leave…

Every year, Australian taxpayers voluntarily pay the government millions of dollars in ‘death taxes’. The 4 defacto death duties are:

1. Capital Gains Tax
2. Stamp Duty
3. Income tax
4. for adult children 32% tax on Super

Are you going to be one of them? Proper Estate Planning ensures that your estate goes to those you care about. Not the Tax Man.

3-Generation Testamentary Trusts

Professor Brett Davies invented Testamentary Trusts in 1994. In 1997 he then invented the 3-Generation Testamentary Trust. The additional advantages over the Testamentary Trust include:

1. better tax advantages
2. generally, pay no tax on the estate income for 80 years
3. works for three generations: spouse, children and grandchildren
4. discretionary of nature: a beneficiary can choose not to set up any trusts
5. wind up when no longer required
6. each beneficiary gets their own 3-G Testamentary Trusts
7. the children when acting unanimously can divide up the class of assets differently. Say you have $1m in shares, $1m in property and $1m in cash. One of your children takes all of the shares. The other the property. The remaining child takes the cash. There is no CGT and stamp duty.

32% Tax on Super going to adult children

After you die your adult children pay 17% or 32% on your Superannuation.  That is a non-dependancy tax. It is on your concessional superannuation. Our Super Testamentary Trust, which you get in these two Wills, seeks to reduce this tax to zero.

Divorcing children

The Divorce Protection Trust delays or stops any capital or income going to the beneficiary who is suffering divorce or separation proceedings. It is designed to reduce the opportunity for the Family Court to get its hands on your money.

The Divorce Protection Trust sits dormant in the Will until needed. The Divorce Protection Trust activates for the benefit of the married person and that person’s children and grandchildren. It removes that person’s power to control the trust while they are suffering the separation.

The Divorce Protection Trust benefits the current and succeeding generations. This helps protect the assets from the Family Court.

You are building two Testamentary Trust Mutual Wills. The trusts in your Wills include:

1. 3-Generation Testamentary Trusts – reduces CGT & stamp duty
2. Superannuation Testamentary Trust – reduces the 17% or 32% tax on Super going to adult children
3. Bankruptcy Trusts – if a beneficiary is bankrupt
4. Divorce Protection Trust – if a child separates stops the Family Court taking your money
5. Maintenance Trust – if beneficiaries under 18 or vulnerable

Love your children.

For legal advice telephone us. We are a law firm. We can help you answer the questions as you build your Will.

Adjunct Professor, Dr Brett Davies, CTA, AIAMA, BJuris, LLB, LLM, MBA, SJD
Legal Consolidated Barristers and Solicitors
Australia wide law firm
Mobile: 0477 796 959
National: 1800 141 612
Email: [email protected]