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Leon
Leon, Solicitor
Category: Australia Law
Satisfied Customers: 44137
Experience:  BEc Dip Ed, Dip Law (SAB) MTax (UNSW)
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I have a Family Trust & SMSF. Myself & 2 children are

Customer Question

I have a Family Trust & SMSF. Myself & 2 children are directors on both but children are not shareholders - this done as part of my succession plan. I am the sole decision maker. How can I show them to be non executive and have no role in the decision making. Minutes or ?
JA: Since estate law varies from place to place, can you tell me what state this is in?
Customer: Sorry Queensland and both are over 18
JA: Has anything been filed or reported?
Customer: Just the usual reporting to ASIC. My son's employment is very strict & he wants somehow to show he is not involved with the financial side.
JA: Anything else you want the lawyer to know before I connect you?
Customer: I'm not sure what would be needed
Submitted: 5 months ago.
Category: Australia Law
Expert:  Leon replied 5 months ago.

My name is ***** ***** I am a NSW Solicitor. I will do my best to assist you with your question.

Expert:  Leon replied 5 months ago.

Good Evening.

You are directors of the corporate trustee. The trustee though is not trading and makes no income it simply administers the SMSF.

If you are all directors then you all have the right to make decisions. It is the director that makes the decisions not the shareholders.

Who ever set this up should have structured it this way. If on the Constitution there is nothing to say that they are no active directors then you have a problem.

You need to see the person who set this up and they will advise you on how they have structured it.

As a director generally they have a right to make decisions.

I cannot tell you anymore as I have not got the documents and did not set this up.

I hope this makes sense and is of assistance. If there is nothing further Happy New year and

Thank you for using my services.

If I have missed anything, or you have any further questions please let me know

If there is anything else in the future please do not hesitate to ask.

Please do not forget to leave positive feedback.

Regards

Leon