on income generated from inherited assets held in discretionary testamentary trusts, as part of wider reforms to family trusts.<\/a><\/p>\nExisting discretionary testamentary trusts will be exempt from the new tax, but the change essentially renders new discretionary trusts redundant.<\/p>\n
Speaking to Sky News host Chris Kenny, Mr Mitchell said the rules would clearly disadvantage his late brother-in-law’s two children during an already difficult time.<\/p>\n
“It was (John’s) explicit wish for him to set up a trust and leave money to his two children left behind, so they can get on in life,” he said.<\/p>\n
“That sum of money was put into a discretionary trust, which my wife and I were made trustees of.<\/p>\n
“One of the children suffered from a severe seizure at birth, resulting in brain damage, and has additional needs.<\/p>\n
“Now we have this issue with proposed laws coming into the trust and they’ll take thirty per cent of any earnings from the trust.<\/p>\n
“I discussed this with my accountant, who said, yes, these laws will clearly disadvantage the children and they’ll be worse off.”<\/p>\n
Mr Mitchell said the two children already have enough to deal with, without the added stress of losing money under the new rules.<\/p>\n
“The government will take $7,500 straight from the kids and that just makes them poorer, it doesn’t help their lives,” he said.<\/p>\n
“They’ve got enough challenges, they’ve lost their father and they are two kids on a single mum’s income. It’s unfair and unjust.<\/p>\n
“At this stage, we’re trying to shelter the children from the news, but they are surrounded by a very wonderful, caring community of people.”<\/p>\n
Nationals leader Matt Canavan previously declared the Albanese government\u2019s \u201cheartless\u201d death tax would pile extra stress on grieving Australians.<\/p>\n
\u201cThe government has imposed heartless extra stress on Australian families, both having to plan for their own passing or their family loved ones’ passing,\u201d he told Sky News on Tuesday.<\/p>\n
\u201cI don\u2019t think people want the Australian tax office involved in these discussions. It should be stuff dealt with between family members, your lawyers and that’s about it.\u201d<\/p>\n","protected":false},"excerpt":{"rendered":"A bereaved family is expected to be over $7,000 worse off under Labor\u2019s “unfair and unjust” new rules…\n","protected":false},"author":2,"featured_media":686128,"comment_status":"","ping_status":"","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[14],"tags":[64,63,99,330539,186,184,185],"class_list":["post-686127","post","type-post","status-publish","format-standard","has-post-thumbnail","category-personal-finance","tag-au","tag-australia","tag-business","tag-discretionary-trusts","tag-finance","tag-personal-finance","tag-personalfinance"],"_links":{"self":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/686127","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/comments?post=686127"}],"version-history":[{"count":0,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/posts\/686127\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media\/686128"}],"wp:attachment":[{"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/media?parent=686127"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/categories?post=686127"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.newsbeep.com\/au\/wp-json\/wp\/v2\/tags?post=686127"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}