Notes for Private Trust

(1)

Notes for

Private Trust

Notes—

1 of 6

Please keep these Notes (pages 1 to 6) for your information.

The information is needed so that the Australian Government Department of Human Services

can assess your involvement in a Private Trust.

Purpose of this form

For more information

Go to our website

www.

humanservices.gov.au

or call us on

132 300

or visit one of our Service

Centres.

To speak to us in languages other than English, call

131 202

.

Note:

Call charges apply – calls from mobile phones may be charged at a higher rate.

If you have a hearing

or speech impairment

TTY service

Freecall™

1800 810 586

. A TTY phone is required to use this service.

Interpreters and

translations

If you need an

interpreter

or

translation

of any documents for our business, we can

arrange this for you free of charge.

Mod(PT).1403

For the Department of Human Services purposes a person is considered to be

your partner

if you and the person are living together, or usually live together, and are:

• married,

or

• in a registered relationship (opposite-sex or same-sex),

or

• in a de facto relationship (opposite-sex or same-sex).

We consider a person to be in a de facto relationship from the time they commence living

with another person as a member of a couple.

We recognise all couples, opposite-sex and same-sex.

Definition of a partner

If, in the last 5 years, you (and/or your partner) have been involved with or have transferred

funds or assets to a private trust that has not been vested, you will need to complete this

form.

If, in the last 5 years, you (and/or your partner) have made any type of gifts involving a

private trust (either active or vested) you will also need to complete this form.

If the private trust is now vested and no gifts need to be declared, you do

not

need to

complete this form. However, you will need to provide evidence of the vesting.

You DO NOT need to complete this form if it is a Special Disability Trust or Complying Self

Managed Superannuation Fund.

When to complete

this form

(2)

What else you will

need to provide

This form tells you which

you need to provide to support your claim.

Depending on your circumstances, you may have to fill in

other forms

.

Arrange to have completed trust and personal income tax returns for the last financial year

so you can provide copies with your completed form(s).

If you believe the most recent documents you provide are not an accurate reflection of your

trust income and/or assets, provide a profit and loss statement and/or balance sheet since

the most recently completed financial statements and all relevant documents supporting

your claim.

You will need to complete a separate form for each trust you are involved in.

If you are involved in more than one trust or company, you only need to provide one set of

personal

income tax returns.

Returning your form(s)

Check that you have answered all the questions you need to answer and that you have

signed and dated this form.

If you return required documents (and your form):

• online – you can submit your documents online if you are registered for Online Services.

• by post – we will sight and record your documents, which may include copying, and

return the originals to you by registered post.

• in person – we will sight and record your documents, which may include copying, and

return the originals to you.

Return this form, all additional documents and any other forms you are required to complete

to one of our Service Centres or online

within 14 days

to make sure you are paid from the

earliest date possible.

If you cannot return all the forms or documents

within 14 days

, contact us for extra time.

For more information on how to access Online Services or how to lodge documents online,

go to

www.

humanservices.gov.au/submitdocumentsonline

Notification and

Review

Your involvement with a trust may be reviewed each year if it is likely to affect your payment

amount. If you are selected for a review, you will be notified and the review will coincide

with the lodging of the trust income tax return.

It is important that you tell us of any changes to the trust’s circumstances that may affect

your payment as they occur. For example, things like changes in the trust’s income or

expenses, gifts made or received or distributions made must be notified

within 14 days

.

Keeping us up-to-date means that we can continue to pay you correctly and reduces the

risk of an overpayment occurring that we will have to recover.

(3)

Mod(PT).1403

Much of the information required on the form is only available from those who know the details of the trust. Therefore we are not able to help you complete the form.

We suggest you talk to the trust tax agent or accountant and consider having them complete the form on your behalf. However, it is still your responsibility to make sure the form is completed and returned.

If a tax agent or accountant provides information, advice or completes the form, or provides the income tax returns for the trust, we will not reimburse any fees they may charge you for this service.

Private trusts include non-complying self managed superannuation funds, family trusts,

testamentary trusts and those fixed trusts with fewer than 50 members and trusts outside Australia.

They do not include fixed trusts with more than 50 members or any public trusts, such as unlisted

property trusts or equity trusts.

The income and assets of a private trust may be attributed to a person based on a number of tests: • a Control Test

– ‘control’ includes control through an associate, and

• a Source Test

– where a person transfers assets or services to a trust.

If a person is attributed with the income and assets of the trust, the income and assets will be assessed as if they were the person’s personal income and assets.

Although the day to day management of a trust is often undertaken by a trustee, effective control of a trust generally rests with a person or persons who can:

• dismiss and appoint a trustee, or

• veto a trustee’s decision, or

• change the trust deed.

This person could be the appointor, principal or guardian. The trustee of a trust may also hold some of these powers.

A person may also control a trust by being able to influence the trustee to act in their favour. In some cases, the trustee could be expected to act in accordance with their wishes.

Using a tax agent or

accountant

What is a private

trust?

What is attribution?

The Control Test

Notes—

3 of 6

A person is involved in a private trust if they or their partner: • are the appointor, guardian or principal of the trust • are a trustee

• are a shareholder or director of the trustee company

• are a beneficiary or included among the categories of beneficiaries • are a unit holder

• are owed money by the trust

• have provided, for less than market value, property or services to the trust since 9 May 2000

• are able to benefit from the trust, or

• can expect the trustee or appointor of a trust to act in accordance with their wishes.

A Direct Benefit

A person may enjoy a direct benefit from a trust by having the trust pay all their personal living expenses or using the trust assets as if they were their own personal assets.

An Indirect Benefit

A person may enjoy an indirect benefit from the trust by having access to and use of, trust assets such as holiday homes.

Involvement in a

private trust

(4)

Holding assets on

behalf of others

The income and asset assessment for a private trust will use the latest available income tax return and financial statements. Adjustments to the taxable income and net assets may be required under the Trust and Companies Legislation.

If a testamentary trust is activated as a result of a person’s partner dying on or before

31 March 2001, the trust income and assets would generally be attributed to the formal controller. If the trust is being administered for the benefit of the surviving partner and if the surviving partner is exercising informal control, attribution will be to the surviving partner.

Where testamentary trusts are activated as a result of a person’s partner dying after

31 March 2001, the surviving partner will be attributed with the income and assets of the trust if:

• the surviving partner directly controls the trust, or

• an associate has control and the surviving partner is a potential beneficiary.

Income Tax Returns

and Financial

Statements

Testamentary trusts

If you relinquish control of a private trust, you will be considered to have gifted the assets held by the trust.

Gifts may be assessed for 5 years from the date of transfer.

Note: Documentation may be requested.

Resignations

If you manage the affairs of a Department of Human Services customer under Power of Attorney or nominee arrangements you may not be affected by the new rules as you would usually not have contributed assets or receive any benefit from the trust.

However, we will need information about the customer’s involvement in a trust and you should arrange for that information to be provided.

Power of Attorney

Where real estate is being held in your name on behalf of a family member, there is no need to answer the questions about that real estate in the form.

Where real estate is owned by the trust, details of each item of real estate must be provided in the form.

If you hold a bank account or monies invested on behalf of a family member, there is no need to answer the questions about those assets in the form.

You should, however, provide details of the account, investment or real estate to us.

The Source Test only applies where a person transfers assets or services to a trust after 7.30 pm Australian Eastern Standard Time (AEST) 9 May 2000.

The Source Test recognises that if you and/or your partner transfer assets or services to a trust and do not receive adequate consideration in return, you generally retain some means of control. Where you can clearly show that a genuine gift has been made and you have no ongoing involvement in the trust at all, attribution would not be made.

(5)

Mod(PT).1403

_Notes—

_{5 of 6}

Information for

Primary Producers

Definition of Primary Production

Primary producer means a person whose principal occupation is primary production. Primary production means:

• production resulting directly from the cultivation of land, or

• the maintenance of animals or poultry for the purpose of selling them or their bodily produce,

including natural increase, or

• fishing operations, or

• forest operations, and

the manufacture of dairy produce by the person who produced the raw material used in that manufacture.

There is a special concession for primary producers who meet certain conditions. This concession will allow some primary producers to retain limited appointorship powers without the income and assets of the private trust being attributed to them.

Note: Primary producers taking up this concession after 31 March 2002, will have been considered to have made a gift.

The conditions are:

Family member running the farm

As this concession is aimed at farmers wishing to retire and hand control on to the next generation, the concession is limited to circumstances where a family member is operating, or takes over the operation of the primary production enterprise.

This will allow the older generation to retire without the need for the farm to support several generations.

Income and asset limits

The special concession is limited to primary producers who, together with their partners, meet certain income and asset requirements.

Primary production assets include primary production land as well as all other primary production assets such as plant, machinery and livestock.

The value of the primary production enterprise is based on current market values. We may arrange to have the primary production assets valued at no cost to the farmer or the trust.

The net value of the primary production enterprise is determined by deducting the allowable primary production liabilities from the current market value of the primary production assets (less the net value of the principal home of the farmer if that principal home is owned by the trust).

70% rule

More than 70% of the net value of the assets of the trust (excluding the net value of the principal home of the farmer if that principal home is owned by the trust) must relate to assets used wholly or principally for the purposes of carrying on a primary production enterprise.

Special Concession for

Primary Producers

(6)

Limited appointorship

The powers that the appointor can hold must be limited.

This means that an irrevocable clause must be inserted into the trust deed providing that: • the appointor’s power to appoint a new trustee can only be exercised upon the trustee’s death,

resignation or legal disablement

• any power of veto held by the appointor is limited to the power to veto the sale of the primary production land.

The appointor must also make a statutory declaration of their resignation from the trust, stating they will not exert any control over, or benefit in any way from the trust, beyond the limited benefits allowed.

Neither they nor their partner can:

• be the trustee, or be able to be appointed as trustee • have the power to change the trust deed

• be *capital or income beneficiaries of the trust.

(*A capital beneficiary or income beneficiary is a person who is able to receive either capital or income at any time from the trust).

Loans from appointors

Appointors who have large loans outstanding to the trust may be assessed as still having control over the trust. If you have a large loan to the trust, you should seek advice from us as to the effect on your eligibility to this concession.

Life interest in home

The appointor and their partner can retain a life interest in their home if it is situated on the primary production property.

Incidental fringe benefits

The appointor and their partner can receive some incidental fringe benefits such as food, water, fuel, gas or electricity for personal consumption.

Receiving income from the farm

The appointor and their partner may continue to draw a combined income from the trust(s) during the 5 years after transfer to a limited appointorship if they are affected by the gifting rules. If there are several primary production trusts, the income limit applies to the combined income from all the trusts.

If the gifting rules do not apply to a person, all income from the trust must cease for the concession to apply.

For more information on the current Primary Production Concession income and asset limits, go to

our websitewww.humanservices.gov.au/fis and select Private trusts and private companies under the

Resources heading and access the link at the bottom of the page.

Usually the family member who takes over the operation of the primary production enterprise would be appointed as the trustee of the trust.

The new controller will have the income and assets of the trust taken into account should they or their partner be receiving an income support payment. This is because, as controller, the income and assets of the trust would be attributed to them.

Attribution to new

controller

(7)

1 of 23

Private Trust

MOD

PT

Return this form online or to one of our Service Centres by / /

Your Centrelink Reference Number

Your date of birth

2

/ / Your name Other Family name

1

First given name

Second given name

Ms Miss

Mrs Mr

3

Your contact phone number

( )

Do you have a partner?

4

Go to next question

Go to 7

No Yes

Your partner’s name

Other Family name

5

First given name

Second given name

Ms Miss

Mrs Mr

Your partner’s date of birth

6

/ /

What is the name of the private trust?

7

This private trust will be referred to as ‘the trust’ on the

rest of this form. For more information, refer to the Notes.

This is the unique number allocated by us to each trust after it has been initially assessed.

Does the trust have a Trust Centrelink Reference Number (Trust CRN)?

8

Trust CRN Go to next question No Yes

Trust tax file number (Trust TFN)

9

Trust Australian Business Number (Trust ABN)

10

Mod(PT).1403

• Use a separate form for each trust.

• If you need more space to answer any questions, provide an attachment. Write the trust name and your Centrelink Reference Number on each attachment.

• Each form can be used jointly for all our

customers and their partners who are involved in the trust. However, for privacy, you may choose to complete your own separate form.

• Filling in this form

– Please use black or blue pen.

– Print in BLOCK LETTERS.

– Mark boxes like this with a or .

– Where you see a box like this Go to 5skip to

the question number shown. You do not need to answer the questions in between.

(8)

In which month are the taxation returns and financial statements for the trust normally completed?

14

What date was the trust set up?

16

For a testamentary trust, this is the date the testator passed away.

For other trusts, this is the date shown on the trust deed.

Is the trust registered outside Australia?

17

No Yes

Go to 13

Are you the person we can contact about details given on this form?

11

Go to next question No

Yes

The person we can contact about details given on this form (e.g. your tax agent or accountant)

12

Name

Business name (if applicable)

Postal address

Daytime phone number Fax number

( ) ( )

Email

Postcode

Position in relation to the trust discussed in this form

Contact person for future requests for taxation returns and financial statements of the trust, if required for a review (e.g. yourself, your tax agent or accountant)

13

The person named at question 12 The person named below

Go to next question

You Give details below

Give details below Name

Business name (if applicable)

Postal address

Daytime phone number Fax number

( ) ( )

Email

Postcode

Position in relation to the trust discussed in this form @ @ / /

15

Trading name

1

Trading name under which the trust conducts business and the type of business

Type of business

(e.g. primary production, retail, commercial, investment)

If there are more than 3 trading names, attach a separate sheet with details.

Trading name

2

Type of business

Trading name

3

Type of business

What date did the trust commence trading?

18

/ /

Is the trust still trading?

19

No Yes

What date did it cease trading?

20

/ /

Go to next question

(9)

Mod(PT).1403

_{3 of 23}

/ /

Is this a TESTAMENTARY trust?

22

Date of death of testator

Go to 25

No Yes

A testamentary trust is one set up through a will and activated by the death of the testator (the person who makes the will).

Is there a surviving partner of the testator?

23

Name

Date of birth

Their permanent address

Postcode Centrelink Reference Number (CRN) or

Department of Veterans’ Affairs (DVA) number (if known) Give details of surviving partner

Yes

/ /

Please read this before answering the question.

24

• personal control of the trust? • an interest and control through an

associate?

Control includes formal control and informal control. Control includes control as a result of, or by means of, trusts, agreements, arrangements, understandings and practices, whether or not having legal or equitable force and whether or not based on legal or equitable rights. Formal control exists where a person can dismiss or appoint a trustee, veto the trustee’s decisions or change the trust deed.

Informal control exists where a person is capable of gaining control, or the person with formal control could reasonably be expected to act in accordance with that person’s wishes.

Associate includes: • spouse/partner

• parents and grandparents

• children (whether biological, adoptive, step or foster) and their spouse/partner and the children of those parties and the spouse/partner of those children • siblings and their spouse/partner

• nephews and nieces and their spouse/partner and the children of those parties and the spouse/partner of those children

• uncles, aunts and their spouse/partner and the children of those parties and the spouse/partner of those children

• a professional adviser such as an accountant, solicitor or financial adviser who may be expected to act in accordance with a person’s wishes

• a trustee of a trust from which a person is capable of benefiting under the trust directly or indirectly • a business partner

• a company where the directors could reasonably be expected to act in accordance with a person’s directions or wishes, or where a person and associates are able to cast more than 50% of the votes that may be cast at a general meeting of the company.

Does the surviving partner have:

No Yes

You will need to provide a copy of the will of the testator.

Go to next question

Has the trust had a change in circumstances since the last financial statements were prepared (e.g. downturn in trade, business sold)?

21

You will need to provide a copy of the evidence of the change in circumstance (e.g. interim profit and loss statement, sale documents, current balance sheet, Administrator’s or Liquidator’s Report). Go to next question

No Yes

Change in circumstances since last financial statement Give details below

Give details below Name of testator

(10)

Details of the trustee

The trustee may be a person or company. The name of the trustee appears on the trust tax return and the trust deed.

25

Centrelink Reference Number (if known) Name of trustee

1

Date of birth (if a person)

/ /

Details of the appointor (if applicable)

An appointor may also be known as the guardian. It is generally the person who establishes the trust and who has the power to appoint or dismiss the trustee.

Centrelink Reference Number (if known) Name of the appointor

Date of birth

/ /

27

2

/ /

3

/ /

4

/ /

If there are more than 4 trustees, attach a separate sheet with details.

1

Is the trustee a corporate trustee?

26

Yes _{You will need to complete and attach a}

Private Company form (Mod PC) for the company. If you do not have this form, go

to our websitewww.

humanservices.gov.au/forms

or call us on 132 300.

Permanent address

Postcode

Centrelink Reference Number (if known) Name of the appointor

Date of birth

/ /

2

Permanent address

Postcode

If there are more than 2 appointors, attach a separate sheet with details.

Name

1

Permanent address Postcode Date of birth / /

CRN or DVA number (if known) Give details of any other person who has the power to: • veto a trustee’s decision

• replace the trustee

• control the trustee’s actions, or

• change the trust deed.

28

If there is more than 1 other person, attach a separate sheet with details.

If the trustee is a company, this is referred to as a ‘corporate trustee’.

(11)

Mod(PT).1403

_{5 of 23}

Name

1

CRN or DVA number (if known) Does any person have informal control of the trust?

Give details of each person Go to next question No

Yes

29

A person has informal control where they are capable

of gaining control, or the person with formal control could reasonably be expected to act in accordance with their wishes. Name

2

CRN or DVA number (if known)

Name

1

Date of birth

/ /

CRN or DVA number (if known) Does any person have use and enjoyment of the assets and/or income of the trust?

Give details of each person Go to next question No Yes

33

Name

2

Date of birth / /

Name

3

Date of birth

/ /

CRN or DVA number (if known) Is there any person(s) who is or may be instructing any

person named in question 28? Give details of each person Go to next question No Yes

30

Name

1

Date of birth / / Name

2

Date of birth / /

Can any person named in question 28 exercise control INDEPENDENTLY?

Give details of this person Go to next question No Yes

31

Name Date of birth / /

Can any person named in question 28 exercise control JOINTLY?

Give details of each person Go to next question No Yes

32

Name

1

Date of birth / / Name

2

Date of birth / /

If there are more than 2 people, attach a separate sheet with details.

(12)

Name

2

Date of birth

/ /

Class of unit Number Purchase price

$ Name

3

Date of birth

/ /

$ Name

4

Date of birth

/ /

$ Name

5

Date of birth

/ /

$ Name

1

Date of birth

/ /

$ Is this trust a unit trust?

A unit trust is a non-discretionary trust where each beneficiary holds a number of units. The beneficiary is entitled to income and capital in the proportion of the number of units held.

35

Give details of all unitholders and their unitholding Go to next question

No Yes Has there been any PREVIOUS trustees and/or appointors

since 1 January 2002?

34

Name

Date of birth

Permanent address

Give details of the PREVIOUS trustee/appointor Go to next question

No Yes

/ /

Reason for change Date of the change

/ / Postcode

1

Name Date of birth Permanent address

/ /

Reason for change Date of the change

/ /

Postcode

2

If there are more than 2 PREVIOUS trustees/appointors, attach a separate sheet with details.

(13)

Mod(PT).1403

_{7 of 23}

Continued Name

6

Date of birth / /

$ Name

7

Date of birth

/ /

$ Name

1

Date of birth / / Relationship to appointor(s) (if known)

Relationship to: trustee if a person

director if a corporate trustee

Who are the beneficiaries (including potential beneficiaries if known) of the trust?

36

Name

2

Name

3

Name

4

Name

5

director if a corporate trustee If there are more than 8 unitholders, attach a separate

sheet with details. Name

8

Date of birth

/ /

(14)

If there are more than 10 beneficiaries, attach a separate sheet with details.

Name

6

Name

7

Name

8

Name

9

Name

10

director if a corporate trustee Continued

Is the trust administered for the exclusive benefit of a person under 18 years of age, or an adult unable to manage their own affairs?

Name of the beneficiary

Date of birth

What is the source of funds for the trust? CRN or DVA number (if known)

Give details below Go to next question No

Yes

/ /

Please read this before answering the question.

A person may be unable to handle their own affairs

because they are under age (a minor) and therefore unable to sign contracts, or are unable to understand a contract because of an intellectual disability, or are unable to make a decision for themselves because they have a severe physical disability (e.g. they are in a coma).

Exclusive benefit means that all income earned by the trust, or distributed assets of the trust, has been used for the sole benefit of the person who is unable to handle their own financial affairs.

37

Date on which the person will be able to access their entitlement directly

OR, if no date, why are they unable to manage their own

affairs?

Source of the funds may include an insurance payment, a transport accident compensation payment or an inheritance.

Date on which the person will be able to access their entitlement directly – the terms of the trust may be that the person who is unable to handle their own financial affairs is able to access the monies held on their behalf when they reach a certain age (e.g. 21 years of age).

/ /

Is your role as a beneficiary only?

38

Yes _{You will need to provide a copy of the}

Resolution to Distribute and evidence of the Beneficiary Loan account balance.

(15)

Mod(PT).1403

_{9 of 23}

Date of change

Have the entitlements altered since then?

41

Give details of each change Go to next question No Yes Owner of entitlement(s)

1

What changed? / /

If a unit trust, have additional units been issued since 7.30 pm AEST on 9 May 2000?

42

Give details of the people to whom the units were issued Go to next question No Yes Name

1

Date of birth / / Number of units Name

2

Date of birth / / Number of units Name

3

Date of birth / / Number of units

If there are more than 2 changes, attach a separate sheet with details.

If there are more than 3 people, attach a separate sheet with details. Date of change Owner of entitlement(s)

2

What changed? / /

Is the trust a fixed trust set up before 7.30 pm AEST on

9 May 2000?

A fixed trust is one where the trust deed names the person who will benefit from the trust and specifies the income and/or assets they will receive.

39

Go to next question

Go to 45

No Yes

Did the fixed trust entitlements exist prior to 7.30 pm AEST on 9 May 2000?

40

Go to next question Go to 42 No Yes

(16)

1

The trust balance sheet usually shows assets at their historical or Written Down Values (WDV). Provide the Current Market Value (CMV) of the assets. The CMV is the price a purchaser is willing to pay for an item.

Only an estimate of the asset value is needed. If a professional valuation is required for any assets, we may have the assets valued at no cost to you or the trust or company.

45

Has anyone gifted, transferred or sold for less than their

market value, any investments, services, real estate or other assets to this trust since 7.30 pm AEST on 9 May 2000?

Nature of the contribution:

Sold for less than market value Give details of each contribution

Yes

Is the person: Still living Deceased

Gifted Transferred

Name of contributor

Date of birth

/ /

What was contributed?

Date of contribution

/ /

Value of contribution

Amount originally paid for contribution (if applicable) $

$

What was contributed? – A contribution may be in the form of cash, investments, services or real estate. If the contribution was in the form of

real estate, you must complete the Trust Real

estate details section (questions 59 to 88), about that real estate.

Date of contribution – If you are not sure of the exact date of the contribution, provide the year and month. However, if the contribution was made in May 2000, it is important that you provide the full date.

Value of contribution – The value of a cash contribution is the amount contributed. The value of services is the gross amount normally charged by a qualified person for a similar service.

The value of real estate contributed is the market value at the time the property was transferred to the trust.

Have additional contributions been received by the trust since 7.30 pm AEST on 9 May 2000?

43

Give details of the contributions Go to next question

No Yes

Contributed by (name of person or organisation)

1

Date of birth (if applicable)

/ /

Amount $

A contribution may be in the form of cash, investments, services or real estate.

2

/ /

Amount $

3

/ /

Amount $

If there are more than 3 additional contributions, attach a separate sheet with details.

Have there been any other changes to the trust since 7.30 pm AEST on 9 May 2000?

Yes

(17)

Mod(PT).1403

Does the trust hold any shares in PUBLIC companies?

Include any futures, options, derivatives, rights or convertible notes or other securities listed on the Australian Securities Exchange (ASX) or stock exchange outside Australia held by the trust.

Include shares, options or rights issues in a public company which are not listed on a securities or stock exchange.

46

Give details below – All details required may be found on the certificate or statement for the share investment.

Yes

Name of the public company

1

ASX code Type of shares held Number

2

3

4

5

6 11 of 23

If there are more than 6 public companies, attach a separate sheet with details.

You will need to provide a copy of the latest statement detailing the shareholding in each company. Continued

1

Nature of the contribution:

Sold for less than market value

Is the person: Still living Deceased

Gifted Transferred

Name of contributor

Date of birth

/ /

What was contributed?

Date of contribution

/ /

Value of contribution

Amount originally paid for contribution (if applicable) $

$

If there are more than 2 contributors, attach a separate sheet with details.

(18)

Does the trust hold any managed investments?

Managed investment is an investment with a company or trust where the assets are not held in the name of the investors or investors do not have control over the management of the assets but have a legally enforceable right to share in any distribution of income or profits derived from the investment (e.g. insurance bonds, friendly society bonds and public unit trusts).

47

Give details below – All details required may be found on the certificate for the investment. Go to next question

No Yes

Name of the fund manager

1

APIR code (if known) Value of the investment

Name of the product and product option

Number of units held (if applicable)

$ Name of the fund manager

2

3

4

$

Does the trust hold any shares in other PRIVATE companies?

Company Centrelink Reference Number (Company CRN) – If you have a Company CRN for any of these companies, write that number. If you do not have a Company CRN, write ‘NIL’.

Company tax file number (Company TFN) – The tax file number of each private company can be found on the tax return for the company.

Company Australian Business Number (Company ABN) – The ABN of each private company will have been provided by the Australian Taxation Office. If the company has not received an ABN, write ‘NIL’.

48

Yes

You will need to complete and attach a

Private Company form (Mod PC) for each of these companies. If you do not have this

form, go to our website www.

or call us on 132 300.

If there are more than 4 managed investments, attach a

Name of the company

3

Company TFN Company ABN Company CRN

Name of the company

1

Company TFN Company ABN Company CRN

Name of the company

2

Company TFN Company ABN Company CRN You will need to provide a copy of a

document which gives details (e.g. certificate with number of units or account balance) for each investment.

If there are more than 3 private companies, attach a separate sheet with details.

(19)

Mod(PT).1403

_{13 of 23}

Money owed by the trust includes salaries and wages owed, loans made to the trust and distributions allocated to a beneficiary that have not yet been paid to the beneficiary.

‘Associate’ is defined at question 24.

51

Does the trust owe money to anyone, including associates?

Name of person or associate

1

Date of birth

Interest rate paid on the loan

/ /

Amount owed $

% Name of person or associate

2

Interest rate paid on the loan %

3

Date of birth / / Amount owed $ Date of birth / / Amount owed $

Give details of each amount owed

Go to 53

No Yes

4

5

Date of birth / / Amount owed $ Date of birth / / Amount owed $

If there are more than 5 people or associates, attach a separate sheet with details.

You will need to provide a copy of the beneficiary loan account details – individual account balances. The trust balance sheet usually shows assets at their

historical or Written Down Values (WDV). Provide the Current Market Value (CMV) of the assets. The CMV is the price a purchaser is willing to pay for an item.

50

Give details of the assets held by the trust, other than

real estate owned by the trust and assets detailed in questions 45 to 48?

Your estimate of the current market value Type of asset

Other (describe)

PLANT & EQUIPMENT $

MACHINERY $ VEHICLES $ LIVESTOCK $ STOCK $ LICENCES $ $ $ $ $ $ $ $ $ Tick if this is a primary production asset BANK ACCOUNTS $

Does the trust own any assets?

49

Go to next question

Go to 51

No Yes

(20)

Are there any other liabilities of the trust?

53

Give details for each liability Go to next question

No Yes

Type of liability includes bank loan, mortgage, fully drawn advance, personal loans not specified in question 51.

Collateral security is fall-back security in the event that the primary security is insufficient. Type of liability

1

_{Amount of liability}

$

Asset secured against Current market valueof asset

$

Tick if this is a primary production asset Tick if this is collateral security Is there a written loan agreement, witnessed by a third

party, of a loan from a person or an associate?

52

Yes _{You will need to provide a copy of each}

loan agreement.

For a liability of the trust to be allowed by us, the amount owing would need to be documented by a written loan agreement signed by all parties to the agreement and witnessed by a genuine third party. Associates are not considered to be genuine third parties. A loan agreement witnessed by an accountant or solicitor who is not a family member may be allowed. Disallowed loans will increase the net assets of the trust attributed to the controller as well as being assessed as an asset of the lender.

If there are more than 5 liabilities, attach a separate Type of liability

2

$

Tick if this is a primary production asset Tick if this is collateral security

Type of liability

3

$

Type of liability

4

$

Type of liability

5

$

(21)

Mod(PT).1403

Is the trust a beneficiary of another private trust?

Trust Centrelink Reference Number (Trust

CRN) – If you have a Trust CRN for any of these

trusts, write that number. If you do not have a Trust CRN, write ‘NIL’.

Trust tax file number (Trust TFN) – The tax file number of each private trust can be found on the tax return for the trust.

Trust Australian Business Number (Trust

ABN) – The ABN of each private trust will have

been provided by the Australian Taxation Office. If the trust has not received an ABN, write ‘NIL’.

54

Give details of each trust Go to next question No

Yes

Private Trust form (Mod PT) for each of these trusts. If you do not have this form,

go to our websitewww.

or call us on 132 300.

55

Did any associate as defined in question 24 or any person

named in questions 25, 27, 28, 29 or 36 receive, or were they entitled to receive, any INCOME from the trust in the last financial year?

15 of 23

Yes

Includes wages, salaries, director’s fees, bonus shares, an income or capital distribution, superannuation contributions made on the person’s behalf to a superannuation fund. Name

1

Date of birth / / Type of income

Total wages paid $

Total wages entitled $

Financial year of payment

Will the person receive this income

in the current financial year? No Yes

If there are more than 4 private trusts, attach a separate sheet with details.

You (and your partner) will need to attach a copy of your latest personal income tax returns.

Name of the private trust

1

Trust CRN Trust TFN Trust ABN

2

3

4

Total superannuation paid $ Total superannuation entitled $ Name

2

Total wages paid $

Total superannuation paid $

Total superannuation entitled

(22)

If there are more than 3 people, attach a separate sheet with details. Name

3

Total wages paid $

Total superannuation paid $

Total superannuation entitled

$ Continued

56

Has the income changed since the last financial year as

indicated in question 55?

Give details of current income Go to next question

No Yes

57

Did any person named in questions 25, 27, 28, 29 or 36

receive, or were they entitled to receive, any BENEFIT from the trust in the last financial year?

Name

1

Date of birth / / Type of benefit $

Yes

Includes non-cash benefits.

A person may enjoy an indirect or direct benefit from a trust (e.g. having the trust pay their personal living expenses, or having access to, or use of trust assets).

Value

58

Does the trust own any real estate?

Go to 89

No

Yes How many properties does the trust hold?

You must complete the Trust Real estate details

section (questions 59 to 88) on the following pages.

You will need to complete one Trust Real estate

details section for each property. To obtain more

copies of the Trust Real estate details section,

you can:

• copy the Trust Real estate details section

(pages 17 to 20) before completing it • print the Real estate details form (Mod R)

from our websitewww.

Name

2

Value Financial year of payment

Name

3

Value Financial year of payment

(23)

Mod(PT).1403

A separate Trust Real estate details section

(questions 59 to 88) must be completed for each real estate property owned by the trust.

Trust Real estate details

Trust CRN – if applicable

60

Trust ABN

61

Name of the trust which holds the real estate

59

Address of the property

Postcode

62 17 of 23

What is the legal description of the property (e.g. lot, section, parish - this may appear on the rates notice)?

65

You will need to provide a copy of the latest council rate/valuation notice.

What is the area or dimension of the property?

Complete ONE of these measurements only.

66

Area in hectares

OR Area in acres

OR Dimensions X

What is your estimate of the current market value of the property, including land and buildings?

69

You will need to provide an estimate of the value. You do not need to have the property professionally valued. We may have the property valued at no cost to the trust. $

Note: If the property is made up of more than 1 title, give details for each separate title.

If the property is made up of more than 1 title, attach a separate sheet with details of the area or dimensions for each title.

Does the trust have 100 per cent ownership of the property?

67

Go to 69 No Yes Go to next question

63

What date did the property become an asset of the trust?

/ /

64

Your partner Other Percentage owned You % % % Private Company Private Trust % % Name of person/entity Percentage owned Percentage owned Percentage owned Percentage owned

Give details below Who owns the property?

68

What type of property is this? Vacant land Home office/business House Self contained flat (part of or attached to a residence) Retail premises Units/flats/town house Commercial premises Industrial premises Farm (or hobby farm) Market garden Residential block larger than 2 hectares (5 acres)

Other Give details below

(24)

70

Is there a residence on the property?

Go to 76

No Yes

If the property has an area greater than 2 hectares, what is the estimate of the value of the residence and surrounding 2 hectares?

$

Go to next question

71

Does any trustee, appointor, unit holder or beneficiary live

on the property?

Go to 76

No Yes

What is the estimate of the value of the residence and surrounding title?

$

72

Is the property on more than 1 title?

Yes

Go to next question

73

Is the person who lives on the property currently over age

pension age and in receipt of, or claiming Age Pension, Carer Payment or Department of Veterans’ Affairs Service Pension, or the partner of someone who is?

Go to 76

No Yes

Go to next question

74

Has the property been their principal home for 20 years or

more continuously?

Go to 76

No Yes

75

Does the person (and/or their partner) or a family member

use the property to support themselves? Go to next question

No

Yes Describe how they support themselves

79

Is there any potential commercial use of the property

(e.g. subdividing, agistment, hobby farming)? Go to next question

No

Yes Describe the potential commercial use of the

property

80

Have 2 or more titles been amalgamated after 9 May 2006?

No Yes

int

82

Is the property mortgaged or encumbered?

Yes Give details below

Date of loan

/ /

Amount of the loan

Interest rate

$

%

Name of finance provider

Collateral security

Balance of the loan $

81

Does the trust receive any rental income from leasing of

the property?

Amount of rent received $

Name of the person renting the property

76

Is the property used to produce an income?

Yes Go to 78

77

Explain why the property is not being used to produce an

income.

78

How is the property currently used?

You will need to provide a copy of the loan agreement showing the securities used and the

(25)

Mod(PT).1403

_{19 of 23}

84

85

Are there any exceptional circumstances affecting the

property?

This may include details such as: No water on property for grazing livestock, lack of adequate fencing, hills, rocky ground, natural bushland, unusual title, etc.

86

If the property is hard to locate, give full directions, or

provide a map. Describe all buildings on the property

How old is the building?

Type of construction

Number of flats/units (if applicable) What is the floor area

in sq. metres (approx.)?

Exterior (e.g. brick, timber)

Interior (e.g. plaster, not lined)

Roof (e.g. iron, tiles)

General condition

For residential building, number of bedrooms Number of other rooms (excluding laundry, bathroom, toilet)

If there are more than 2 buildings, attach a separate sheet with details.

1

How old is the building?

Type of construction

Number of flats/units (if applicable) What is the floor area

in sq. metres (approx.)?

Exterior (e.g. brick, timber)

Interior (e.g. plaster, not lined)

Roof (e.g. iron, tiles)

General condition

For residential building, number of bedrooms Number of other rooms (excluding laundry, bathroom, toilet)

2

83

Have any other properties or investments been used to

secure the loan to purchase this property? Go to next question

No

(26)

Privacy and your personal information

Your personal information is protected by law, including the Privacy Act 1988, and is collected by the Australian Government Department of Human Services for the assessment and administration of payments and services. This information is required to process your application or claim.

Your information may be used by the department or given to other parties for the purposes of research, investigation or where you have agreed or it is required or authorised by law.

You can get more information about the way in which the Department of Human Services will manage your personal information, including our privacy policy at

www.humanservices.gov.au/privacy or by requesting a

copy from the department.

87

IMPORTANT INFORMATION

Authority to inspect the property

Purpose of this authority

• To enable us to correctly assess your entitlement, it may be necessary for a valuation of the property to be completed.

• In order to continue paying your correct entitlement, we may arrange to have the property professionally valued from time to time, at no cost to you or the trust or company.

Why is a valuation required?

Social security law requires that the value of assets

(e.g. property, shares in a company, units in a trust) is included when calculating the amount of pension, benefit or allowance payable.

How is the value of a property decided?

The value of real estate is its current market value, less any allowable debts on the property. The ‘current market value’ is the price the owner could expect to receive if the property was sold.

Through regular updates using relevant market data the Department of Human Services will maintain the value of the property.

What happens if there is no permission to inspect the property?

If the value of the property is likely to affect a person’s entitlement to social security payments or the rate of payment, but no permission to inspect the property is provided, the person’s payment may not be granted or payment may be stopped.

What if you are not satisfied with the valuation?

If you are unhappy with a valuation, you should contact us. We will check the details, explain the decision, and if necessary arrange a further valuation. This gives you a chance to correct misunderstandings or present new information. If you disagree with the decision and would like the decision to be reviewed, we will forward the matter to a review officer. For more information about your review and appeal rights, or to request a review of a decision, go to our website

www.humanservices.gov.au or call us on 132 300 or visit one of

our Service Centres. Trustee's signature

Authority to inspect the property

88

Date / /

Person to be contacted by the valuer

Their daytime phone number

( )

I authorise a licenced valuer to enter and inspect the property for the purposes of a valuation in relation to the Social Security (Administration) Act 1999. I understand that if the property to be inspected is not occupied by me, it is my responsibility to give the actual occupant reasonable notice, or such notice as is required by agreement, of the inspection. This authorisation does not permit the valuer to enter my home, or any dwelling the trust may own, during the inspection, unless invited to do so. A similar condition applies to the home of any tenant. I further understand that the Department of Human Services or its representative will contact the trustee, or the person noted below, to arrange a mutually convenient time for any inspection of the property. Name of Trustee

Address of property

Second signature (if a corporate trustee) Date

/ /

When you have completed a Trust Real estate details

(27)

Mod(PT).1403

See definition of ‘limited’ on page 6 of the Notes.

21 of 23

89

Are you a primary producer who wishes to apply for the

special concession?

Go to 97

No Yes

See Information for Primary Producers in the Notes (page 5

to 6) before completing questions 89 to 96.

Who is operating the farm? Name of operator

Date of birth

Permanent address Their relationship to you

/ /

90

Postcode

91

Are you (and/or your partner) beneficiaries of the trust?

No Yes

Income beneficiaries Capital beneficiaries

Indicate which type of beneficiaries: Go to next question

92

Date appointorship changed to ‘limited’?

/ /

93

What was your (and/or your partner’s) primary production

income for the 3 financial years prior to ‘limited’ appointorship (i.e. prior to the date in question 92)?

94

Does your primary production enterprise include a

partnership? Go to 96 No Yes Financial year

1

Your partner’s primary

production income $

Your primary production income $

/

Financial year

2

production income $

/

Financial year

3

production income $

/

Business Details form (Mod F). If you do

not have this form, go to our websitewww.

or call us on 132 300.

What is the name of this partnership?

95

Special concessions for farmers

You will need to provide:

• a copy of initial trust deed, or

• a copy of a statutory declaration or legal document of your resignation from the trust, which also states you will not exert any control over, or benefit in any way, from the trust.

(28)

The trust balance sheet usually shows assets at their historical or Written Down Values (WDV). Provide the Current Market Value (CMV) of the assets. The CMV is the price a purchaser is willing to pay for an item.

96

Do you (and/or your partner) own other primary production

assets that are not part of this trust?

Your estimate of the current market value Type of asset

Other (describe)

PLANT & EQUIPMENT $

MACHINERY $ VEHICLES $ LIVESTOCK $ STOCK $ LICENCES $ $ No

Yes Give details of your (or your partner’s) other

primary production assets Go to next question

You must provide copies of documents. The copies will

not be returned.

97

Which of the following forms, documents and other

attachments are you (and/or your partner) providing with this form?

Note: If requested, you must make available the following documents which relate to the trust: (Do not lodge them with this form – we will tell you if we need to see them)

• the Trust Deed and amendments of this deed. If applicable, the:

• last return provided to the Australian Securities and Investments Commission (ASIC) for the trust • title deeds for each property owned by the trust • certificates for share investments of the trust • investment certificates for managed investments

owned by the trust.

You will need to provide a copy of the following financial statements for the trust:

Latest tax return for the trust Profit and loss statement for the trust Depreciation schedule for the trust Balance sheet for the trust Notes to and forming part of the account (if applicable) Trading account details for the trust (if applicable) A profit and loss statement and/or balance sheet for the trust for the current financial year if the most recent completed year is not an accurate reflection of the current circumstances of the trust (if applicable)

BANK ACCOUNTS $

Continued

A loan agreement for each liability of the trust, other than documents for loans from associates (if applicable) If you are not able to lodge any of the required documentation, give an explanation below

(29)

Mod(PT).1403

_{23 of 23}

Statement

99

I declare that:

• the information provided in this form is complete and correct.

• the personal income tax return I have provided (with this form or with another trust or company form) is a genuine copy.

I understand that:

• giving false or misleading information is a serious offence.

• the Australian Government Department of Human Services can make relevant enquiries to make sure I receive the correct entitlement.

Your signature

Date

/ /

Your partner’s signature

Date

/ /

Privacy and your personal information

Your personal information is protected by law, including the Privacy Act 1988, and is collected by the Australian Government Department of Human Services for the assessment and administration of payments and services. This information is required to process your application or claim.

Your information may be used by the department or given to other parties for the purposes of research,

investigation or where you have agreed or it is required or authorised by law.

You can get more information about the way in which the Department of Human Services will manage your

personal information, including our privacy policy atwww.

humanservices.gov.au/privacy or by requesting a copy from the department.

98

IMPORTANT INFORMATION

A completed Trust Real estate details section for each

real estate property owned by the trust

(if you answered Yes at question 58)

A copy of the council rate/valuation notice for each

property owned by the trust (at question 65)

Copies of any written agreements concerning loans involving associates to the trust

Private Company form (Mod PC)

(if you answered Yes at question 26 and/or 48)

Private Trust form (Mod PT)

Business Details form (Mod F)

A copy of the evidence the trust has had a change in circumstances

A copy of the beneficiary loan account details – individual account balances

A copy of your (and your partner’s) latest personal income tax returns

A copy of the initial trust deed, or the original (or a certified copy of the original) statutory declaration or legal document of your resignation from the trust, which also states you will not exert any control over, or benefit in any way, from the trust

You may also need to provide a copy of the following documents for the trust:

If you are not sure, check the question to see if you should attach the documents.

Continued

A copy of the will of the testator

A copy of the latest statement detailing the shareholding in each company

A copy of a document which gives details (e.g. certificate with number of units or account balance) for each investment

A copy of the Resolution to Distribute and evidence of the Beneficiary Loan account balance

A copy of the loan agreement showing the securities used and the latest loan statement

Notes for Private Trust

Notes for

Private Trust

Notes—

1 of 6

Please keep these Notes (pages 1 to 6) for your information.

The information is needed so that the Australian Government Department of Human Services

can assess your involvement in a Private Trust.

Purpose of this form

For more information

Go to our website

humanservices.gov.au

or call us on

132 300

or visit one of our Service

Centres.

To speak to us in languages other than English, call

131 202

.

Note:

Call charges apply – calls from mobile phones may be charged at a higher rate.

If you have a hearing

or speech impairment

TTY service

Freecall™

1800 810 586

. A TTY phone is required to use this service.

Interpreters and

translations

If you need an

interpreter

or

translation

of any documents for our business, we can

arrange this for you free of charge.

For the Department of Human Services purposes a person is considered to be

your partner

if you and the person are living together, or usually live together, and are:

• married,

or

• in a registered relationship (opposite-sex or same-sex),

or

• in a de facto relationship (opposite-sex or same-sex).

We consider a person to be in a de facto relationship from the time they commence living

with another person as a member of a couple.

We recognise all couples, opposite-sex and same-sex.

Definition of a partner

If, in the last 5 years, you (and/or your partner) have been involved with or have transferred

funds or assets to a private trust that has not been vested, you will need to complete this

form.

If, in the last 5 years, you (and/or your partner) have made any type of gifts involving a

private trust (either active or vested) you will also need to complete this form.

If the private trust is now vested and no gifts need to be declared, you do

not

need to

complete this form. However, you will need to provide evidence of the vesting.

You DO NOT need to complete this form if it is a Special Disability Trust or Complying Self

Managed Superannuation Fund.

When to complete

this form

What else you will

need to provide

This form tells you which

other documents

you need to provide to support your claim.

Depending on your circumstances, you may have to fill in

other forms

.

Arrange to have completed trust and personal income tax returns for the last financial year

so you can provide copies with your completed form(s).

If you believe the most recent documents you provide are not an accurate reflection of your

trust income and/or assets, provide a profit and loss statement and/or balance sheet since

the most recently completed financial statements and all relevant documents supporting

your claim.

You will need to complete a separate form for each trust you are involved in.

If you are involved in more than one trust or company, you only need to provide one set of

personal

income tax returns.

Returning your form(s)

Check that you have answered all the questions you need to answer and that you have

_Notes—

_{5 of 6}