Key area we will cover in this chapter
- Family discretionary trusts
Defined terms we will introduce
- Trust: (an old English concept) created by a trust deed similar to a will
- Trustee: the person who controls the distribution of the trust income (business taxable profits) and the trust corpus (capital, as in capital gain)
- Beneficiary: any family member up to three generations either side of a nominated individual, usually the business owner
- Discretionary: the ability to apply income to anyone nominated beneficiary (family member)
- Personal excursion income (PSI): income ...