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Discretionary Trust Question

Discussion in 'Legal Issues' started by stumpie, 8th Jun, 2016.

  1. stumpie

    stumpie Well-Known Member

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    hi Folks

    I've got an old discretionary trust which I have not used for a long time, it holds no assets. Is it possible to change the trustee that was initially named in the trust document?

    Would you recommend setting up a new trust instead of using the old trust?
     
  2. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    You will have to read the deed and see if it allows the trustee to change. if it does how - who have the power and what steps need to be taken.

    Has the trustee held at least some property such as $10? Without it there would be no trust.

    Does the trust deed adequately allow for what you want to do?

    it may or may not be worth using.
     
  3. stumpie

    stumpie Well-Known Member

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    I'm the appointor in the trust deed and it was a company named as trustee but this company has deregistered. the trus tpreviously held a small amount of shares.

    Sounds like I'll be better off setting up a new trust deed.
     
  4. Terry_w

    Terry_w Solicitor, Finance Broker, CTA Business Member

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    So the assets of the trust would have vested with ASIC in that case.

    Best to start again.
     
  5. Paul@PFI

    Paul@PFI Tax Accounting + SMSF Business Member

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    No assets = no trust