Would love to hear from anyone with any knowledge on this subject. I have a company which is soon to hold an ACL ( Australian credit licence). Is it possible to open a trust and run the business using the ACL which is in the company through the trust?
Hi Blake
I think you are getting slightly confused as the 2 are totally unrelated.
You don't require a Company to hold a ACL.
Secondly i think you are referring to the Company having a Corporate Trustee.
If so and you have considered all factors of the business then certainly no reason why you wouldn't get that route.
Cheers
Yours in Finance
Richard Taylor | Australia's leading private lender
Firstly, thank you greatly for the reply. As it stands the company has already been set up and wheels are in motion for ACL to be in the company (possibly beginners mistake). If i set the trust up and make the company the "corporate trustee" will this negate the capitol gains pitfall of distributing funds directly from a company and allow for the 50% deduction?
Thanks.
You could transfer the shares of this company to a discretionary trust. Or have the company operate as trustee to the discretionary trust – this may require modification of your ACL new ABN, new TFN etc.
Terryw | Structuring Lawyers Pty Ltd / Loan Structuring Pty Ltd
http://www.Structuring.com.au
Email MeLawyer, Mortgage Broker and Tax Advisor (Sydney based but advising Aust wide) http://www.Structuring.com.au
Thank you for your responses both very helpful.
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