Winding up a unit trust: duty requirements

For a transfer or an agreement to transfer property to the unit holders of a unit trust as a consequence of its winding up, provide:

1. the transaction record (such as a transfer or agreement to transfer)
2. a completed Foreign Transfer Duty Declaration Form or Foreign Landholder Duty Declaration Form
3. a statutory declaration by the trustee of the unit trust scheme with the following:
   • confirmation the unit trust is being wound up in accordance with the relevant provisions of the trust deed
   • the date the winding up commenced, being the earlier when:
     • the trust deed requires the scheme be wound up because of any circumstance or event that occurs, or any time that arrives
     • the unit holders pass a resolution directing the trustee to wind up the scheme
     • the trustee decides to wind up the scheme or
     • when a court orders the scheme be wound up
   • confirmation the property is being transferred to the unit holders of the unit trust as part of the winding up
   • complete financial statements of the unit trust:
     • at the date the winding up began
     • at the date of the transaction and
     • at the previous 30 June
   • details of the issued units of the unit trust and a listing of the units held by each unit holder at the date of winding up
   • details of the rights of each class of unit
   • details of any debts owed to a unit holder that the unit holder released the trustee of the unit trust from repaying for the period beginning 12 months before the winding up began and ending when the property is transferred
   • details of any liabilities that a unit holder has assumed or discharged for the trustee of the unit trust for the period beginning 12 months before the winding up began and ending when the property is transferred
   • the date each unit holder acquired their units
   • confirmation the assets of the unit trust are being transferred to the unit holders in line with their entitlements (k) if the property was previously owned by a related unit trust, confirm if any unit holder held units in that related trust
   • date of acquisition of the property by the unit trust or a related unit trust
   • details of any dealing in units of the unit trust or a related unit trust by a unit holder or previous owner of the property (n) whether there is any commercial benefit to a scheme or arrangement of transactions in relation to the winding up involving:
     • the trustee of the unit trust
     • a unit holder or
     • a related unit trust
   • whether the transfer relates to a right from any of the units of the unit trust to select or receive property.
4. completed Form FDA27 ‘Duties Valuation – City, Town and Suburban Property’ or Form FDA28 ‘Duties Valuation – Country Land’. These forms are not required if lodging electronically.
   You don’t need to provide a valuation form if you provide a valuation by a qualified valuer as described in Commissioner’s Practice TAA 30 ‘Valuation of Land for Duties Purposes’.
5. any other information that may assist us to assess the duty.

When shares in a corporation or units in a unit trust scheme are transferred to unit holders and result in a relevant acquisition in a landholder, also provide the information set out in Landholder duty.

An assessment of duty will not be issued until all required information is provided.