Unpacking What Practitioners Need To Know About The Bendel Court Decision

Unpacking What Practitioners Need To Know About The Bendel Court Decision, updated 4/16/25, 9:21 PM

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Taxacct.com.au has published an article covering The landmark Bendel Federal Court decision which reverses the Australian Taxation Office’s position on unpaid present entitlements in family trusts, aimed primarily at Tax and Accounting Practitioners. The article is available for viewing in full at https://taxacct.com.au/the-bendel-decision-a-landmark-ruling-on-unpaid-present-entitlements/ Barnfire Pty Ltd City: Pingelly Address: PO Box 96 Website: https://taxacct.com.au

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A comprehensive breakdown of the Bendel court
ruling and its immediate implications
Taxacct.com.au's new article "The Bendel Decision"
discusses the February 2025 landmark ruling that
challenges the ATO's stance on unpaid present
entitlements in family trusts
Tax and Accounting Practitioners
are analyzing its impact on trust
distributions, Div 7A compliance,
Section 100A risks, and future Tax
Office administration
The Tax Commissioner's decision to appeal adds complexity, leaving uncertainty for
practitioners awaiting legal resolution
It emphasizes the need for practitioners to monitor
developments, assess trust practices, and advise
clients on risks and potential changes post-appeal
outcome
The contentious issue of UPE treatment began in 2009
when ATO considered UPEs as loans triggering
unfranked dividends, significant for tax purposes
George Davis, Senior Editor, highlights the substantial tax implications of the ruling and the looming
government intervention due to trust use concerns

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