Trust Document Management¶

Trust structures require specialized document management to maintain ATO compliance and ensure proper governance. Records Manager provides expertise for Unit Trusts, Discretionary Trusts, and Family Trusts.

Trust Document Relationships ER Diagram¶

erDiagram
    Trust {
        string name PK "Trust name"
        string type "unit|discretionary|family"
        string trustee "Primary trustee"
        string appointor "Appointor name"
        string abn "Trust ABN"
        string tfn "Trust TFN"
        date creation_date "Trust setup date"
        date fte_date "Family Trust Election date"
    }

    TrustDeed {
        int id PK "Document ID"
        string title "Trust Deed title"
        date execution_date "Execution date"
        date retention_until "Retention end date"
        string document_type "Trust Deed"
    }

    FamilyTrustElection {
        int id PK "Document ID"
        string fte_number "FTE reference"
        date fte_lodgment_date "FTE lodgment date"
        date retention_until "5 years from FTE date"
        string document_type "Family Trust Election"
    }

    TrusteeAppointment {
        int id PK "Document ID"
        string appointee "Appointed trustee"
        date appointment_date "Appointment date"
        date retention_until "15 years from appointment"
        string document_type "Trustee Appointment"
    }

    BeneficiaryDeclaration {
        int id PK "Document ID"
        string beneficiary_name "Beneficiary name"
        string relationship "Relationship to trust"
        date declaration_date "Declaration date"
        date retention_until "7 years"
        string document_type "Beneficiary Declaration"
    }

    TrusteeResolution {
        int id PK "Document ID"
        string resolution_type "pre-eofy|other"
        date resolution_date "Resolution date"
        string fiscal_year "Financial year"
        date retention_until "7 years"
        string document_type "Trustee Resolution"
    }

    DistributionMinutes {
        int id PK "Document ID"
        string fiscal_year "Financial year"
        date meeting_date "Meeting date"
        string distributions_summary "Summary of distributions"
        date retention_until "7 years"
        string document_type "Distribution Minutes"
    }

    FinancialStatement {
        int id PK "Document ID"
        string fiscal_year "Financial year"
        date preparation_date "Statement preparation date"
        string auditor_name "Auditor name (if applicable)"
        date retention_until "7 years"
        string document_type "Financial Statement"
    }

    TaxReturn {
        int id PK "Document ID"
        string fiscal_year "Financial year"
        date lodgment_date "Lodgment date"
        string tax_agent "Tax agent name"
        date retention_until "7 years"
        string document_type "Tax Return"
    }

    ABNRegistration {
        int id PK "Document ID"
        string abn_number "ABN number"
        date registration_date "Registration date"
        date expiry_date "Registration expiry"
        date retention_until "7 years"
        string document_type "ABN Registration"
    }

    TFNRegistration {
        int id PK "Document ID"
        string tfn_number "TFN number"
        date registration_date "Registration date"
        date retention_until "7 years"
        string document_type "TFN Registration"
    }

    UnitRegistry {
        int id PK "Document ID"
        date registry_date "Registry establishment date"
        string total_units "Total units issued"
        date retention_until "15 years"
        string document_type "Unit Registry"
    }

    Variation {
        int id PK "Document ID"
        string variation_type "deed|beneficiary|trustee"
        date effective_date "Effective date"
        string description "Variation description"
        date retention_until "15 years"
        string document_type "Trust Deed Variation"
    }

    %% Trust relationships
    Trust ||--o{ TrustDeed : "contains"
    Trust ||--o{ FamilyTrustElection : "has (Family Trust only)"
    Trust ||--o{ TrusteeAppointment : "requires"
    Trust ||--o{ BeneficiaryDeclaration : "requires"
    Trust ||--o{ TrusteeResolution : "generates"
    Trust ||--o{ DistributionMinutes : "generates"
    Trust ||--o{ FinancialStatement : "generates"
    Trust ||--o{ TaxReturn : "generates"
    Trust ||--o{ ABNRegistration : "requires"
    Trust ||--o{ TFNRegistration : "requires"
    Trust ||--o{ UnitRegistry : "has (Unit Trust only)"
    Trust ||--o{ Variation : "may have"

    %% Special relationships
    FamilyTrustElection }o--|| Trust : "part of"
    TrusteeResolution }o--|| Trust : "documents"
    DistributionMinutes }o--|| Trust : "documents"

    %% Financial relationship
    Trust ||--o{ FinancialStatement : "produces"
    Trust ||--o{ TaxReturn : "produces"

    %% Unit Trust specific
    UnitRegistry }o--|| Trust : "maintains"

    %% Time-based relationships
    FamilyTrustEletion ||--o{ RetentionMonitor : "monitors"
    TrusteeResolution ||--o{ RetentionMonitor : "tracks"
    DistributionMinutes ||--o{ RetentionMonitor : "tracks"

    %% Compliance relationships
    BeneficiaryDeclaration ||--o{ ComplianceGuardian : "validates"
    ABNRegistration ||--o{ ComplianceGuardian : "validates"
    TFNRegistration ||--o{ ComplianceGuardian : "validates"

    %% Governance relationships
    TrusteeAppointment ||--o{ ComplianceGuardian : "validates"
    TrustDeed ||--o{ ArchiveArchitect : "preserves"
    FamilyTrustElection ||--o{ ArchiveArchitect : "preserves"

    %% Retention rules
    TrustDeed ||--o{ RetentionRules : "15 years (permanent)"
    FamilyTrustElection ||--o{ RetentionRules : "5 years from FTE date"
    TrusteeAppointment ||--o{ RetentionRules : "15 years (permanent)"
    BeneficiaryDeclaration ||--o{ RetentionRules : "7 years"
    TrusteeResolution ||--o{ RetentionRules : "7 years"
    DistributionMinutes ||--o{ RetentionRules : "7 years"
    FinancialStatement ||--o{ RetentionRules : "7 years"
    TaxReturn ||--o{ RetentionRules : "7 years"
    ABNRegistration ||--o{ RetentionRules : "7 years"
    TFNRegistration ||--o{ RetentionRules : "7 years"
    UnitRegistry ||--o{ RetentionRules : "15 years (permanent)"
    Variation ||--o{ RetentionRules : "15 years (permanent)"

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Trust Types¶

Records Manager supports three Australian trust types:

Trust Type	Purpose	Key Documents
Unit Trust	Fixed entitlement investing	Unit registry, distribution statements
Discretionary Trust	Flexible family wealth distribution	Trustee resolutions, distribution minutes
Family Trust	Tax flow-through with FTE	Family Trust Election, pre-EOFY resolutions

Family Trust Election (FTE)¶

What is an FTE?¶

The Family Trust Election (FTE) is a critical ATO election that allows a trust to be treated as a "family group" for tax purposes. It enables tax flow-through to family beneficiaries.

FTE Retention Rule¶

CRITICAL: FTE retention is 5 years from the FTE lodgment date, NOT EOFY.

This is a special ATO rule that differs from normal document retention:

Normal Document: 7 years from EOFY (June 30)
FTE Document: 5 years from FTE lodgment date (any date)

Example FTE Retention Calculation¶

FTE Lodgment Date: February 1, 2020
Retention Period: 5 years
Retain Until: February 1, 2025

DO NOT DELETE before February 1, 2025
ATO Reference: TD 2007/D23, Section 272-80 ITAA 1936

Checking FTE Retention¶

User: "Check FTE retention for Smith Family Trust"
AI: "Family Trust Election - Smith Family Trust:"
    "  FTE Date: 2020-02-01"
    "  Retention Period: 5 years from FTE date"
    "  Retain Until: 2025-02-01"
    "  "
    "  ⚠️  RETENTION STATUS: Expires in 12 days"
    "  "
    "  After 2025-02-01, you may:"
    "    - Archive the document (recommended)"
    "    - Retain permanently (trust records)"
    "  "
    "  Current Date: 2025-01-20"
    "  Days Until Safe: 12"

Trust Document Checklists¶

Unit Trust Documents¶

Required Documents: * Trust Deed

Unit Registry
Trustee Appointment
ABN Registration
TFN Registration
Annual Financial Statements
Unit Distribution Statement
Tax Return

Optional Documents: * Unit Application Form

Unit Transfer Documentation
Unitholder Agreement
Trustee Resolution

Retention Periods: * Trust Deed: 15 years (permanent)

Unit Registry: 15 years (permanent)
Distribution Statements: 7 years
Tax Returns: 7 years

Discretionary Trust Documents¶

Required Documents: * Trust Deed

Trustee Appointment
Beneficiary Declaration
ABN Registration
TFN Registration
Annual Financial Statements
Trustee Resolution (Pre-EOFY) - Critical!
Distribution Minutes - Critical!
Tax Return

Optional Documents: * Variation to Trust Deed

Beneficiary Consent Forms
Trustee Change Notification
Asset Register

Retention Periods: * Trust Deed: 15 years (permanent)

Trustee Appointments: 15 years (permanent)
Pre-EOFY Resolutions: 7 years
Distribution Minutes: 7 years

Family Trust Documents¶

Required Documents: * Trust Deed

Family Trust Election (FTE) - Critical!
Trustee Appointment
Beneficiary Declaration
ABN Registration
TFN Registration
Annual Financial Statements
Trustee Resolution (Pre-EOFY) - Critical!
Distribution Minutes - Critical!
Tax Return

Optional Documents: * Variation to Trust Deed

Beneficiary Consent Forms
Interposed Entity Election
Trustee Change Notification
Asset Register

Retention Periods: * Trust Deed: 15 years (permanent)

FTE: 5 years from FTE date - Special rule!
Pre-EOFY Resolutions: 7 years
Distribution Minutes: 7 years

Trust Validation Workflow¶

Running Trust Validation¶

User: "Validate Smith Family Trust documents"
AI: "Smith Family Trust - Document Validation"
    ""
    "Required Documents: 10"
    "Found: 8/10 (80% complete)"
    ""
    "✅ Complete Documents:"
    "  1. Trust Deed (retention: 15 years - permanent)"
    "  2. Family Trust Election (retention until 2025-02-01)"
    "  3. Trustee Appointment (retention: 15 years - permanent)"
    "  4. ABN Registration (retention: 7 years)"
    "  5. Annual Financial Statements 2023 (retention: 7 years)"
    "  6. Tax Return 2023 (retention: 7 years)"
    "  7. Trustee Resolution 2023 (retention: 7 years)"
    "  8. Distribution Minutes 2023 (retention: 7 years)"
    ""
    "⚠️  Missing Documents:"
    "  1. Beneficiary Declaration"
    "  2. TFN Registration"
    ""
    "⚠️  Warnings:"
    "  - Pre-EOFY Trustee Resolution not created for 2024"
    "  - Distribution Minutes not documented for 2024"
    "  - FTE retention expires 2025-02-01 (12 days)"
    ""
    "Action Items:"
    "  1. Upload Beneficiary Declaration"
    "  2. Upload TFN Registration"
    "  3. Create Pre-EOFY Trustee Resolution before June 30"
    "  4. Document 2024 distributions in minutes"
    "  5. Plan FTE archival after 2025-02-01"

Pre-EOFY Requirements¶

Why Pre-EOFY Resolutions Matter¶

Trustee resolutions made before June 30 document the trustee's intention to distribute income for the financial year. These are critical for:

ATO Compliance: Evidence of distribution decisions
Section 100A: Protects against reallocating distributions
Beneficiary Entitlements: Documents who receives what

Creating Pre-EOFY Resolutions¶

User: "Create pre-EOFY resolution for Smith Family Trust"
AI: "Generating Pre-EOFY Trustee Resolution Template"
    ""
    "SMITH FAMILY TRUST"
    "TRUSTEE RESOLUTION - 2024 FINANCIAL YEAR"
    ""
    "Date: [Date before June 30, 2024]"
    "Trustee: [Trustee Name]"
    ""
    "RESOLVED THAT:"
    ""
    "1. The trustee intends to distribute the trust's income for the"
    "   2023-2024 financial year as follows:"
    ""
    "   Beneficiary              | Income      | Capital Gains"
    "   ------------------------- | ----------- | -------------"
    "   [Beneficiary 1]          | $XX,XXX     | $X,XXX"
    "   [Beneficiary 2]          | $XX,XXX     | $X,XXX"
    "   [Beneficiary 3]          | $XX,XXX     | $X,XXX"
    "   TOTAL                    | $XXX,XXX    | $XX,XXX"
    ""
    "2. This resolution is made before June 30, 2024 to document"
    "   the trustee's intention for income distribution."
    ""
    "3. The trustee may make final distributions after year-end"
    "   based on actual trust income."
    ""
    "SIGNED: _______________________"
    "[Trustee Name]"
    "Date: _________________________"
    ""
    "WITNESS: _____________________"
    "[Witness Name]"
    "Date: _________________________"
    ""
    "Upload signed document to trust records."

Distribution Minutes¶

After EOFY, document actual distributions:

User: "Create distribution minutes for Smith Family Trust 2024"
AI: "Generating Distribution Minutes Template"
    ""
    "SMITH FAMILY TRUST"
    "MINUTES OF TRUSTEE - DISTRIBUTION 2024"
    ""
    "Meeting Date: [Date after June 30, 2024]"
    "Trustee: [Trustee Name]"
    ""
    "DISTRIBUTION CONFIRMED:"
    ""
    "For the 2023-2024 financial year, the following distributions"
    "are confirmed:"
    ""
    "   Beneficiary              | Income      | Capital Gains | Total"
    "   ------------------------- | ----------- | ------------- | -----"
    "   [Beneficiary 1]          | $XX,XXX     | $X,XXX        | $XX,XXX"
    "   [Beneficiary 2]          | $XX,XXX     | $X,XXX        | $XX,XXX"
    "   [Beneficiary 3]          | $XX,XXX     | $X,XXX        | $XX,XXX"
    "   TOTAL                    | $XXX,XXX    | $XX,XXX       | $XXX,XXX"
    ""
    "These distributions align with the Pre-EOFY Trustee Resolution"
    "dated [Date]."
    ""
    "SIGNED: _______________________"
    "[Trustee Name]"
    "Date: _________________________"

Trust Document Tagging¶

Recommended Tag Structure¶

# Family Trust Tags
family-trust                    # Domain
fte                            # Family Trust Election
family-trust-election           # FTE synonym
beneficiary                    # Beneficiary documents
trustee-resolution             # Trustee decisions
pre-eofy                       # Pre-EOFY resolutions
distribution-minutes           # Distribution records
governance                     # Governance category
financial                      # Financial category
regulatory                     # ATO/ABN/TFN
critical                       # Important documents

Unit Trust Tags¶

unit-trust                     # Domain
unit-registry                  # Unit ownership
distribution                   # Income distributions
unitholder                     # Unitholder documents
unit-transfer                  # Unit transfers
capital-account                # Capital accounts
governance                     # Governance
financial                      # Financial

Discretionary Trust Tags¶

discretionary-trust            # Domain
beneficiary                    # Beneficiary documents
distribution                   # Income distributions
trustee-resolution             # Trustee decisions
pre-eofy                       # Pre-EOFY resolutions
streaming                      # CGT streaming
governance                     # Governance

Trust Setup Workflow¶

Creating a New Trust Entity¶

User: "Add a family trust for Smith family"
AI: "Creating Smith Family Trust entity..."
    ""
    "I'll need some information:"
    ""
    "1. Trust Name: Smith Family Trust"
    "2. Trustee: [Individual or Corporate Trustee]"
    "3. Appointor: [Who controls the trust]"
    "4. ABN: [Trust ABN]"
    "5. TFN: [Trust TFN]"
    "6. Family Trust Election Date: [FTE lodgment date]"
    ""
    [After gathering information:]
    ""
    "✅ Entity created: smith-family-trust-2024"
    ""
    "Created in paperless-ngx:"
    "  - Entity tag: family-trust:smith-family-trust"
    "  - Storage path: /Trusts/Family/Smith Family Trust"
    "  - Custom fields: FTE date, ABN, TFN"
    ""
    "Next steps:"
    "  1. Upload Trust Deed"
    "  2. Upload Family Trust Election document"
    "  3. Upload Trustee Appointment"
    "  4. Upload Beneficiary Declaration"
    "  5. Upload ABN/TFN registrations"
    ""
    "Run trust validation after uploading all documents."

Trust EOFY Checklist¶

Before June 30 (EOFY)¶

Create Pre-EOFY Trustee Resolution
Document intended beneficiary distributions
Confirm all income documents uploaded
Verify capital gains calculations
Review trust deed for any changes

After July 1 (Post-EOFY)¶

Prepare Annual Financial Statements
Create Distribution Minutes
Document actual distributions made
Prepare Tax Return
Upload all documents to trust records
Run trust validation

Ongoing¶

Monitor FTE retention (check quarterly)
Upload trust correspondence as received
Document any trust deed variations
Record trustee changes

FTE Compliance Best Practices¶

1. Record FTE Date Accurately¶

Always record the FTE lodgment date (not EOFY):

FTE Lodgment: February 1, 2020 (actual lodgment)
NOT: June 30, 2020 (EOFY)

2. Set Retention Reminders¶

Set reminders 30 days before FTE expiration:

FTE Date: 2020-02-01
Retention Until: 2025-02-01
Reminder: 2025-01-02 (30 days before)

3. Never Delete FTE Early¶

The FTE is the foundation of the trust's tax structure:

``⚠️ DO NOT DELETE before 2025-02-01 Deleting FTE early risks: * Loss of family group tax status * ATO audit issues * Trust structure invalidation

### 4. Archive After Retention

After 5 years, archive rather than delete:

After 2025-02-01: * Move FTE to archive storage * Tag as 'archived' * Keep for trust records (permanent)

## Trust Document CLI Commands

```bash
# Validate trust documents
bun run RecordManager.ts trust validate \
  --trust-type family-trust \
  --entity "smith-family-trust"

# Check FTE retention
bun run RecordManager.ts trust fte-check \
  --fte-date "2020-02-01"

# Create pre-EOFY resolution template
bun run RecordManager.ts trust resolution-template \
  --trust-type family-trust \
  --year 2024

# Create distribution minutes template
bun run RecordManager.ts trust distribution-template \
  --trust-type family-trust \
  --year 2024

Common Trust Scenarios¶

New Trust Establishment¶

User: "I just set up a new family trust. What documents do I need?"
AI: "New Family Trust Document Checklist:"
    ""
    "Essential Documents (upload immediately):"
    "  1. Trust Deed (15-year retention - permanent)"
    "  2. Family Trust Election (5-year from FTE date)"
    "  3. Trustee Appointment (15-year retention)"
    "  4. Beneficiary Declaration (7-year retention)"
    "  5. ABN Registration (7-year retention)"
    "  6. TFN Registration (7-year retention)"
    ""
    "Upload these documents, then run trust validation"
    "to verify completeness."

Annual Compliance Review¶

User: "Review my trust compliance for EOFY"
AI: "EOFY Trust Compliance Review:"
    ""
    "Required for 2024 EOFY:"
    "  ✅ Annual Financial Statements (prepare)"
    "  ⚠️  Pre-EOFY Trustee Resolution (create before June 30)"
    "  ⚠️  Distribution Minutes (create after June 30)"
    "  ✅ Tax Return (lodge by October 31)"
    ""
    "FTE Status:"
    "  ⚠️  FTE expires 2025-02-01 (12 days)"
    "  Action: Plan archival after expiration"
    ""
    "Current Compliance: 75% (3/4 annual documents)"

Trust Transfer or Sale¶

User: "What documents do I need for trust transfer?"
AI: "Trust Transfer Documentation:"
    ""
    "Required Documents:"
    "  ✅ Trust Deed (current)"
    "  ✅ Unit Registry (if unit trust)"
    "  ⚠️  Transfer Documentation (prepare)"
    "  ⚠️  Beneficiary Consents (obtain)"
    "  ✅ Trustee Resolution (documenting transfer)"
    ""
    "Post-Transfer:"
    "  - Update Unit Registry"
    "  - Create new beneficiary declarations"
    "  - Document variation to trust deed (if applicable)"