Managing the Tax Pain Points in the Estate Plan – a recorded lunchtime online conference

Duration: Approximately 2.5 Hours

Hear from the experts at this online conference. You can watch it on your computer or on your portable electronic device from anywhere.

The conference will be based on our highly successful video webinar technology: there'll be a chairperson and presentations.

One registration can be shared by colleagues within the same firm utilising the same login.

THE PROGRAM

Session 1: Time for a Tidy Up? Resolving Estate Planning Issues relating to UPEs and Division 7A

Unpaid present entitlements can have unintended consequences for an estate plan, leaving the Legal Personal Representative with more on their plate than first thought. This session explores some of the issues, including:

• A review of the assets that actually form part of an individual’s estate and where the trust fits in
• Has the UPE been dealt with under the requirements of TR 2010/3 and PSLA 2010/4?
• Options and strategies for unwinding UPEs and division 7A loans, including:

• Paying out
• Forgiving

• What are the consequences of doing nothing?
• Practical examples and worked examples

Session 2: Life and Remainder Interests in Property and the CGT Taxing Points

An estate plan may involve making sure a loved one has a roof over their head or sufficient income to see out the remainder of their days, before remainder beneficiaries share in the estate. Such arrangements can result in some complex CGT issues. This session aims to make you aware of the issues by a review of TR 2006/14, including:

• The difference between equitable interests in property and legal interests
• What are the CGT consequences of granting a lifetime right to reside in property?
• What if a deed of arrangement is entered into to vary the terms of the will?
• The CGT consequences when a life interest owner dies
• The CGT consequences if the life interest and remainder owners want the arrangement to end early
• The effect on the CGT main residence exemption

• The impact of the new ‘granny flats’ CGT exemption

• Case studies

Session 3: The Interplay of Residency in Estate Planning: The Individual, the Trust and the Jurisdiction

There is a lot to consider when estate planning involves cross border situations and the tax laws don’t make the task any easier. With the ATO’s increased scrutiny of the flow of funds between countries, it is important practitioners are on top of these rules. This session aims to improve your understanding of the issues, including:

• The individual and determining residency status when:

• Entering Australia (TR 98/17;IT 2681)
• Leaving Australia and working in other countries (IT 2650; Harding v Commissioner of Taxation [2019] FCAFC 29)
• The recent budget proposed residency rule changes (subject to legislation)

• The trust:

• The definition of a resident trust estate
• The definition of a non-resident trust estate
• The recent budget proposed residency rule changes for trusts (to be legislated)

• The relevant jurisdiction and the workings of double tax agreements
• The CGT implications for an asset that falls under the category “taxable Australian property” (TD 2017/23)
• Implications of section 99B applying including TD 2017/24
• The transferor trust rules
• Worked examples incorporating a combination of the relevant parties having a residency status in Australia and:
  • U.K.
  • N.Z.