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Trust setup costs

Discussion in 'Accounting, Tax & Legal' started by Bulltrader, 29th Jun, 2011.

  1. Bulltrader

    Bulltrader New Member

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    I want to budget to setup a discretioanry trust with a corporate trustee. What would be a ballpark figure on what this may cost to setup?

    Cheers

    Bernie
     
  2. Terryw

    Terryw Well-Known Member

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    Probably around $1000 for the trust and $500 for the company.

    You may also have to pay stamp duty - in NSW it is $500, not sure about VIC.
     
  3. Simon Hampel

    Simon Hampel Co-founder Staff Member

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    Before you go too far - you should really ask the question "do I actually need a trust"?

    I am a fan of discretionary trusts (I have one myself) - but they are not necessary or even suitable for everyone.

    Did you want to give us a bit more detail about what you intend to do with the trust? We might be able to make some suggestions on how to structure things. Just a suggestion!
     
  4. Bulltrader

    Bulltrader New Member

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    Hi Sim,

    I intend to use the Trust to register an online business which I am in the process of building. I will have a number of beneficiaries which I could distribute income to if required. The Trust will not be holding any assets of significant value as such only a couple of computers and the value of domain names.

    Cheers

    Bernie
     
  5. manoj

    manoj Member

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  6. Terryw

    Terryw Well-Known Member

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    I would suggest people be very careful when using cheap online deeds. Various problems can occur which are not the fault of the provider but due to lack of knowledge of the person ordering the deed. I have seen one guy who had his son as settlor of his trust which meant that the son could not become a beneficiary. I have also heard of people making trusts where they are the trustee and the only beneficiary = no separation of legal and beneficial ownership = no trust.

    There are also a few problems with some of the online deeds - it the past anyway, but these could have been rectified now. See "SMSF Death Benefit Bonus & Tax Deduction Will the deed fail your client at the wrong time?" by Macqaurie Group Services for example. https://prc.macquariegs.com.au/down...-all-funds-can-pay-Anti-Detriment-Payment.pdf
     
  7. manoj

    manoj Member

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