Income Tax Act 2007 section 469

Person ceasing to be a settlor

Section 469 sets out the conditions under which a person ceases to be treated as a settlor in relation to a settlement for income tax purposes.

• A settlor ceases to be a settlor when none of their property remains within the settlement
• The person must not have given any undertaking to provide property to the settlement in the future, whether directly or indirectly
• The person must not have entered into any reciprocal arrangements with another person for that other person to contribute to the settlement in the future
• All three conditions must be satisfied simultaneously before the person loses their status as settlor