The Trusts Bill 2024 (Qld) (Trusts Bill) was tabled in the Queensland Parliament on 21 May 2024. The objective of the Trusts Bill is to replace the Trusts Act 1973 (Qld) (the Act) with modernised and simplified trusts legislation and is aimed at enhancing and streamlining the law of trusts in Queensland to meet modern needs and address the gaps in the Act. It is an implicit acknowledgement of the importance and widespread use of trusts in the Queensland economy, and will affect all trusts, including (with some exceptions) those already in existence at enactment.

Our clients (people and businesses) deal with or are affected by trusts more than they think. Whether it’s a superannuation fund, an estate, a family trust, or a commercial trust for conducting business or holding real estate assets, in Australia in 2022, almost 1 million trusts lodged tax returns in Australia. That’s almost as many as companies and represents one trust for approximately every 28 people. By comparison, in June 2023, there were 2,589,873 actively trading businesses in Australia. Therefore, the Trusts Bill will likely have a substantial impact on Australians.

This bulletin serves as an alert to the largest stakeholders who will likely be affected by the Trusts Bill. It will give trustees and investors, and those people or business who deal with trusts, an overview of the fundamental changes to the Act and the commercial impacts of the Trusts Bill on them personally (as a trustee) or their business. Whilst the Trusts Bill will affect Queensland trusts only, stakeholders who will likely be affected are located all around the country and should be alert to the proposed amendments.