Estate planning - creating trust in SA so you can extend it indefinitely?

Estate planning - creating trust in SA so you can extend it indefinitely?

I just read that trust expires in 80 years in all states apart from SA.

Should we be all creating trust in SA?

 

Is the settlor located in SA?
Will the trustee be located in SA?
Will all the trust property be located in SA?
What about central control and management of the trust.

Are you aware any beneficiary could wind up the trust after 80 years?

 

Would testamentary trust --> old beneficiary --> new testamentary trust be easier to implement legally?

 

They are saying there's 30 to 40 years before the trust expired and might need to move assets into their person names and trigger cgt

 

What does this sentence mean?

 

Is there a fate worse than tax?

 

Do family trusts live forever?

 

DIE WITH ZERO

 

That is a great book

 

Saves the trouble of making a trust? Haha

 

You can adjust the vesting date without causing a resettlment of the trust and without breaking the rule of perpetuities. You have to do so before the 80 years are up and within specific boundaries but possible. Get your grandkids to put the date in their e-calendar......

 

https://www.ato.gov.au/law/view/document?DocID=TXR/TR20186/NAT/ATO/00001&PiT=99991231235958

 

Thanks! I'll check it out!

 

Best to see someone like Terry about that sort of thing.

 

would one viable strategy be:
Say a family trust has been running for 50 years. The trustee slowly sells assets to new family trusts (probably a good idea as there are more beneficiaries now) and cg is spread across years? Works better with dividable assets like shares.

 

Once a trust is more than 10 years ago any new assets might be better acquired in a new trust.

 

All this talk of 80+ year vesting dates. I have never seen a deed that was created before possibly 1970s. Certainly none back in 1940s which is where 80 years takes us.

And any I have seen back then with any assets of substance have needed some form of costly and complex advice due to bad drafting. They get amended. And some tax adviser suggests some changes. Assets are sold and purchased. And I would argue if it were in existence its probably so poorly drafted in the contect of modern legal practice and tax laws it could be difficult to interpret. More legal costs. Maybe court decisions.

Here is one drafted and settled in December 1988 (32 years) and see how much of a problem that has been.
Hancock v Rinehart [2015] NSWSC 646 (28 May 2015)

and then beneficiaries will also attack other trusts created from original assets. Because people died, remarried etc.
https://www.watoday.com.au/national...n-clash-of-the-dynasties-20210419-p57ki8.html