Super Guarantee applicable if only receiving trust distributions

Discussion in 'Accounting & Tax' started by Khufu, 19th Nov, 2021.

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  1. Khufu

    Khufu Active Member

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    If you only receive distributions from a discretionary trust do you fall under any Super deduction requirement or no need to worry?

    I have a trust with a corporate trustee. The trustee holds a majority stake in an investee company. The investee co pays license fees to the trustee. I receive trust distributions as my only income. As far as I understand, there is no super obligation, is that correct?
     
    Khufu, 19th Nov, 2021
    #1
  2. Paul@PAS

    Paul@PAS Tax, Accounting + SMSF + All things Property Tax Business Plus Member

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    Only a employer of a employee has a super "obligation"under the superannuation guarantee act. Not self employed sole traders or partners. Any personal income allows a individual taxpayer to elect to contribute if they can and if they are able to claim a deduction for a concessional contribution that does not bring their taxable income to a loss. There is no obligation to contribute to super otherwise.
     
    Paul@PAS, 19th Nov, 2021
    #2
  3. Ross Forrester

    Ross Forrester Well-Known Member

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    No super obligations on trust distributions.
     
    Ross Forrester, 19th Nov, 2021
    #3
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