Q1 I have an older trust deed which needs amending (just in case) - original deed has a principal (deceased) & replacement principal (getting old); the principal currently needs to approve any changes. Q2 When it comes to vesting the trust (distributing all assets out), the deed states a deed is needed to vest the trust. There is no property in these trusts, just listed shares & cash. Is there any NSW stamp duty payable on a deed of amendment or a deed to vest the trust? I couldn't see where to find this information on the NSW OSR website. NSW stamp duty on deeds seems to be $500 per deed.
Thats incorrect to suggest a trust needs a deed to vest. A trust can end if it has no assets. A deed is different to a resolution in that a deed is a promise. Promising to vest seems somewhat lacking in a solemn promise but may assist to fulfil trustee obligations to beneficiaries (generally). Amending a deed will not generally result in a resettlement requiring duty as it is not for real property or the settle a new trust. But legal expenses to review the operative clauses and amend will cost more than $500 in most cases as the solicitor will need to consider all clauses and advise then draft appropriate documents. Can a principal resign or be removed ? How do they do that ? This may allow the trustee to then act without review ? eg Distribute capital and any final income to beneficiaries
I read the deed, and it says the assets can't be distributed until the trust is vested, and the deed also states the Vesting Day is the end of the 80 years or an earlier date fixed by deed. They are doing the earlier date, so it does need a deed in this particular case. That has been organised/quoted so I'm just trying to work out all the other costs & how much cash is needed.
Trust assets cant be distributed? Unusual trust. The very purpose of a trust is to hold assets for beneficiaries at least until a perpetuity date. The most restrictive trust may limit that but not prevent it. I suspect legal advice is needed.