Is Your Brokerage Held in a Family Trust? New Tax Rules Start in 2028
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Advocacy
The Government introduced a Bill on 14 October 2026 that changes how discretionary trusts (family trusts) are taxed. From 1 July 2028, these trusts will pay a minimum tax rate of 30 per cent, with some exceptions.
Why it matters to brokers
If your brokerage, or your authorised representative business, is owned through a family trust, these changes may affect you.
The Bill gives trusts two main ways to respond.
One is to restructure, with tax relief for restructures done between 1 July 2027 and 30 June 2030. The other is to choose to lock in who receives the trust's income, and in what shares. The Government says this second option will not need a restructure.
Both are big decisions that are hard to reverse. They may also affect how you plan to pass on or sell your business.
What to do now
Talk to your accountant or tax adviser well before 2028. Ask whether your trust is caught, which option suits you, and how it fits your succession plans. If you restructure, ask about state stamp duty too.
