Duties Act 1999

For this section, a person is a beneficiary of a discretionary trust if the person is a person, or a member of a class of people, in whose favour, by the terms of the trust, capital the subject of the trust may be applied in the event—

of the exercise of a power or discretion in favour of the person or class; or

that a discretion conferred under the trust is not exercised.

Discretionary trust—see the dictionary.

A beneficiary of a discretionary trust is taken to own or to be otherwise entitled to the property the subject of the trust.

For this part, any property that is the subject of a discretionary trust (the primary trust) is taken to be the subject of any other discretionary trust—

that is a beneficiary of the primary trust; or

any trustee of which (in the capacity of trustee) is a beneficiary of the primary trust.

Subsection (3) extends to apply to property that is the subject of a discretionary trust only by the operation of that subsection.

However, subsection (2) or (3) does not apply in a particular case if the commissioner—

is satisfied that the application of the subsection would be inequitable; and

determines, in writing, that the subsection does not apply.

In this section:

Entity—see s 78A.