Australian Charities and Not-for-profits Commission Act 2012 (Cwth)

CHAPTER 7 - MISCELLANEOUS  

PART 7-4 - APPLICATION OF THIS ACT TO ENTITIES  

Division 180 - Obligations, liabilities and offences  

Subdivision 180-C - Trusts  

SECTION 180-20   OBLIGATIONS AND LIABILITIES  
Obligations

180-20(1)    
Subject to subsection (2) , an obligation that is imposed under this Act on a trust is imposed on each of the following entities, but may be discharged by any such entity:

(a)    each entity (whether an individual or a company that is a body corporate) that was a trustee of the trust at the time the obligation arose;

(b)    if the trustee, or one or more of the trustees, mentioned in paragraph (a) is a company that is a body corporate - each individual who was a director of such a company at the time the obligation arose.

Liabilities

180-20(2)    
An amount that is payable under this Act by a trust is payable by each of the following entities:

(a)    each entity (whether an individual or a company that is a body corporate) that was a trustee of the trust at the time the amount became payable;

(b)    if the trustee, or one or more of the trustees, mentioned in paragraph (a) is a company that is a body corporate - each individual who was a director of such a company at the time the amount became payable.

180-20(3)    
An amount is payable by a director under paragraph (2)(b) only if the amount is payable by the trust because of a deliberate act or omission of the director involving dishonesty, gross negligence or recklessness.

180-20(4)    
If an amount is payable under this section by more than one entity, those entities are jointly and severally liable to pay the amount.

180-20(5)    
For the purpose of ensuring the payment of an amount payable under this section by an entity mentioned in paragraph (2)(a) or (b) , the Commissioner of Taxation has the same remedies against the property of the trust as the Commissioner of Taxation would have against the property of the entity.