59BForeign exemption trust: registration and disclosure

1. The Commissioner may register a foreign exemption trust if a trustee pays the prescribed fee.

2. The Commissioner may treat the registration of a trust under subsection (1) as being in force from a date preceding the successful application for registration of the trust, if the Commissioner considers that the trustee made reasonable efforts to obtain registration at the earlier date.

3. A trust that is registered under this section as a foreign trust at the start of the day on which the Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 receives the Royal assent is treated as being registered as a foreign exemption trust from that day.

4. A trustee of a foreign exemption trust must apply to the Commissioner for registration of the foreign exemption trust, provide the information required by subsection (3) and the declaration required by subsection (4), and pay the prescribed fee.

5. The requirement under subsection (2) for a trustee to register a foreign exemption trust commences on the later of—

6. the date (the amendment assent date) on which the Taxation (Annual Rates for 2022–23, Platform Economy, and Remedial Matters) Act 2023 receives the Royal assent:
7. the due date for an income tax return of the trust relating to the first income year for which the trust meets the requirements to be a foreign exemption trust.

8. A trustee applying for registration of a foreign exemption trust (the contact trustee) is responsible for communicating with the Commissioner for the trust and must provide, with the application and fee,—

9. the name of the trust:
10. the date, amount, settlor, and nature of each settlement on the trust that is not a provision to the trustee at less than market value of minor services incidental to the activities of the trust and is made in the period of time ending with the application and beginning with—
    1. the date on which the trust is formed, if a trustee is not a natural person or is a professional trustee; or
    2. the later of the date on which the trust is formed and 30 June 2013, if subparagraph (i) does not apply and a trustee becomes required to register the trust on the date on which the Taxation (Business Tax, Exchange of Information, and Remedial Matters) Act 2017 receives the Royal assent; or
    3. the later of the date on which the trust is formed and the date that is 4 years before the earliest date on which a trustee becomes required to register the trust, if subparagraphs (i) and (ii) do not apply:
11. the name, email address, physical residential or business address, jurisdiction of tax residence, taxpayer identification number, and connection with the trust of—
    1. each settlor who makes a settlement referred to in paragraph (b):
    2. each person with a power to appoint or dismiss a trustee, to amend the trust deed, or to add or remove a beneficiary:
    3. each person with a power to control the exercise of a power referred to in subparagraph (ii):
    4. each person with a power to control a trustee in the administration of the trust:
    5. each trustee:
    6. each beneficiary that is not a minor and has a fixed interest in the trust:
    7. each nominee for a beneficiary that has a fixed interest in the trust:
    8. the parent or guardian of a beneficiary that is a minor and has a fixed interest in the trust:
12. for each beneficiary that is a minor and has a fixed interest in the trust, the name, date of birth, and taxpayer identification number of the beneficiary:
13. for each beneficiary or class of beneficiary that has a discretionary interest in the trust, details sufficient for the Commissioner to determine, when a distribution is made under the trust, whether a person is a beneficiary:
14. for each beneficiary or class of beneficiary that has a residual interest in the trust, details sufficient for the Commissioner to determine, when a distribution is made in the winding up of the trust, whether a person is a residual beneficiary:
15. a copy of the trust deed, will, or other document that creates and governs the trust (the creating document), and of each document that amends or supplements the creating document.

16. The contact trustee must provide a signed declaration that each person referred to in subsection (3)(c)(i) to (vii)—

17. is deceased; or
18. despite the efforts of the contact trustee detailed in the declaration, cannot be located by the contact trustee; or
19. has been informed of, and has agreed to provide the information necessary for compliance with, the requirements relating to the provision of information relating to the trust and persons connected with the trust imposed by all of—
    1. the Tax Administration Act 1994:
    2. the Anti-Money Laundering and Countering Financing of Terrorism Act 2009:
    3. the regulations made under the Anti-Money Laundering and Countering Financing of Terrorism Act 2009.

20. A contact trustee must provide to the Commissioner the details of an addition or alteration to a particular to which subsection (3) refers and any signed declaration under subsection (4) required as a consequence of the addition or alteration.

21. A contact trustee who anticipates ceasing to be the person communicating with the Commissioner for the trust must provide to the Commissioner, within 30 days of becoming aware of the anticipated date of the cessation, the details of—

22. the anticipated date on which the trustee ceases to be the contact trustee for the foreign trust:
23. the email address and physical residential address of the trustee after the anticipated date:
24. the name, email address, and physical residential or business address of the replacement contact trustee for the foreign trust after the anticipated date.

25. A contact trustee who anticipates a change in the trustee’s e-mail address, physical residential address, or other contact details, must provide the Commissioner with details of the change within 30 days of becoming aware of the anticipated change.

26. Each trustee of a foreign exemption trust is responsible for the performance of the obligations imposed on a trustee relating to registration of the trust, disclosure of information, annual returns, financial statements, and payment of fees.