Family Trust Election

Q&A Tax

Question :

If a family trust election is made and Ms. A is specified as the individual, are the following members in
the family group?

Ms. A’s grandchildren

Ms. A’s grandchildren’s spouses

Ms. A’s great grandchildren

Ms. A’s great grandchildren’s spouses

 

Answer :

Yes, all these individuals should be part of the family group under the family trust election rules.
Section 272-90 Sch 2F ITAA 1936 states that someone is a member of the family group of a test
individual if they are a member of their family.

Family is defined in section 272-95 to include:

Any child of the test individual;

Any lineal descendant of a child of the test individual (which should include grandchildren and great grandchildren of the test individual);

Any spouse of the test individual or any of the individuals referred to above.

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