Tax Rates Trustee

Generally

Beneficiary under legal disability — ITAA36 s 98(1) — use Table 1 below

Beneficiary with vested and indefeasible interest — ITAA36 s 98(2) — use Table 1 below

  • where a beneficiary under 18 years of age is subject to the minors’ income rules, the trustee will be assessed at the special rates under Div 6AA

Non-resident beneficiary presently entitled — ITAA36 s 98(2A), (3) and (4)

  • beneficiary is a company — the trustee is taxed on the beneficiary’s share of net income at the relevant corporate tax rate, ie 30%, or 27.5% for base rate entities
  • beneficiary is a natural person and is a prescribed non-resident — use Table 1 below for non-residents
  • beneficiary is presently entitled to trust income as trustee of another trust with a non-resident trustee — the trustee of the first trust is taxed at 45%

No beneficiary presently entitled — ITAA36 s 99A — 45%, except where the Commissioner considers that s 99 should apply, and in certain other limited cases

Corporate unit trusts and public trading trusts — 30%

Deceased estate

No beneficiary presently entitled — ITAA36 s 99

  • income of a trust estate of a person who died less than three years before the end of the income year — use Table 1 below
  • income of a trust estate other than the estate of a person who died less than three years before the end of the year of income:
    • resident trust estate — use Table 2 below
    • non-resident trust estate — use Table 1 below for non-residents

 

 

TABLE 1

 
Share of net income Tax on income % on excess
Resident beneficiary
$18,200 Nil 19%
$37,000 $3,572 32.5%
$87,000 $19,822 37%
$180,000 $54,232 45%
Non-resident beneficiary
Nil Nil 32.5%

$87,000

$180,000

$28,275

$62,685

37%

45%

TABLE 2

Share of net income

Tax on income % on excess

$416

Nil

50%

$670

$127

19%*

$37,000

$7,030

32.5%

$87,000

$180,000

$23,280

$57,690

37%

45%

* Income between $670 and $37,000 is taxed at a flat rate of 19%

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