• Trustee beneficiary (TB) statement information

    Attention

    Warning:

    This information may not apply to the current year. Check the content carefully to ensure it is applicable to your circumstances.

    End of attention

    There are reporting obligations that apply to certain distribution to trustee beneficiaries of a closely held trust. If you are making a distribution to another trust you should read all the information in appendix 12 before completing this section as these reporting obligations may apply to you.

    The TB reporting rules impose obligations on you as a trustee of a closely held trust where you have a beneficiary that is itself the trustee of a trust (a trustee beneficiary). Failure to meet these reporting obligations may result in a liability for trustee beneficiary non-disclosure tax, currently imposed at a rate of 46.5%.

    This section is to be completed by all closely held trusts that have an obligation under the trustee beneficiary reporting rules.

    If you are not making a TB statement for the trustee beneficiary, print X in the No box. A TB statement is not required where the trustee beneficiary was not presently entitled to tax preferred amounts and its share of the trust's net income does not include an untaxed part.

    If you are making a TB statement, print X in the Yes box for this trustee beneficiary, and then:

    • for resident beneficiaries, ensure the name and TFN of the trustee beneficiary is recorded in the beneficiary details section
    • for non-resident beneficiaries, ensure the name and address of the trustee beneficiary is recorded in the beneficiary details section.
    • at P show any tax-preferred amounts to which the trustee beneficiary is presently entitled; if there are no tax-preferred amounts, show a zero at P.
    • at Q show any untaxed part of a share of net income of the trustee beneficiary; if there is no untaxed part of a share of net income, show a zero at Q.

    For more information about the definitions of 'tax-preferred amounts' and 'untaxed part of a share of net income', see appendix 12.

    Last modified: 13 Aug 2014QC 24223