New 30 per cent trust tax creates significant challenges for private groups
Client AlertThe announced 30 per cent minimum tax on discretionary trusts creates significant challenges for private groups.
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Perth, Adelaide, Brisbane, Melbourne, Cairns, Sydney
National Head of Technical Tax
David works closely with Grant Thornton’s Private Enterprise team, providing tax technical, strategic and training support across Australia. As an accomplished writer and tax legislation specialist, he ensures that all members of the Private Enterprise team stay abreast of the latest tax developments.
David’s role draws upon over 30 years’ experience in achieving tangible outcomes for clients, in particular through advising on significant transactions such as business restructures and exiting a business. His approach is to deliver solutions-based outcomes that assist clients in making important decisions concerning their businesses.
David is an engaging speaker and is able to deliver technical tax information in an understandable and commercial format for staff and clients. David’s articles have been published in a range of national and local publications over many years.
The announced 30 per cent minimum tax on discretionary trusts creates significant challenges for private groups.
The Government has announced revisions to several tax measures in the Budget, affecting capital gains tax treatment for small businesses, a special carve-out for start-ups, and a conditional exclusion for discretionary testamentary trusts from the 30 per cent tax on trusts.
On 10 June 2026 the High Court found that a trust’s unpaid present entitlement (UPE) to a company is not treated as a ‘loan’, and potentially subject to tax as a deemed dividend under Division 7A.