Why family trusts are no longer as attractive as they used to be – Sasha Borissenko

THREE KEY FACTS The wealthiest 20% of households hold 69% of total household net worth, highlighting a growing inter-generational wealth gap. The trustee tax rate increased from 33% to 39% on income retained within most trusts. Trustees must now disclose more financial details, increasing compliance costs and transparency requirements.

As we enter a new financial year, I’ve spent the last week digging through a year’s worth of receipts buried in tissue-ridden handbags. My disorganised disposition aside, it’s prompted me to question the Inland Revenue Department’s (IRD) archaic requirement to keep receipts for seven years. Given the flimsy nature of these bits of paper, I realised accountants and auditors don’t get the credit they deserve.



.