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Vesting by deed - change of trustee exemption (s. 117) procedure

Follow this procedure to apply a section 117 exemption to a deed or other instrument that effects a change of trustee, using OSRconnect.

Use our change of trustee exemption toolkit for more information.

Note: The fields marked with an asterisk (*) are mandatory.

On the Lodgement Obligations tab:

  1. Select Transfer Duty from the Create return/transaction drop-down list.
  2. Select Create to start the transaction.
  1. You can enter your own reference (optional).
  2. Select Transfer - Other than land as the Transaction Class.
  3. Select Vesting of dutiable property as the Type of dutiable transaction.
  4. Select Trust - dutiable property as the Type of dutiable property.
  5. Select or enter the Transaction/Document date using the calendar or text field (dd/mm/yyyy).
  6. Answer the question: Is there an agreement in writing?
    This will generally be No.
  7. Click Next.

The Property section will display first. Make sure you complete this stage following our data entry standards.

  1. Enter 'Change of trustee' in the Detailed description of the property (other than land) field.
  2. Enter the value of business goodwill and intellectual property. These amounts must be included as part of the consideration or unencumbered value.
  3. Answer the question: Does this transaction include real property?
Replacing a trustee

If an incoming trustee is replacing an outgoing trustee, enter the outgoing party as the transferor, and the incoming party as the transferee.

Adding a trustee

If an incoming trustee is being added to the existing trustees, enter the existing trustees as the transferors; and the new trustees as the transferee. For example, incoming trustee C is added to existing trustees A and B. The transferors will be the existing trustees A and B; and the transferees will be the new trustees A, B and C.

Removing a trustee

If an existing trustee if being removed, enter the departing trustee as the transferor and the remaining trustees as the transferee.

  1. Select Transferors from the Document details list.
  2. Select Trust from the drop-down list, and enter the Trust name and Trustee name in full.
  3. Click Add to register these details.
  4. Select Transferees from the Document details list.
  5. Answer the question: Are any of the transferor/s and transferee/s related?
  6. Select Trust from the drop-down list.
  7. Enter the full name in the Trust Name field.
  8. Enter the Interest acquired by the transferee as a fraction.
  9. Complete the transferee contact details.
  10. Enter the name of the trustee.
  11. Click Add to register the trustee details.
  12. Scroll down and click Add to register transferee details.
  13. Click Next.
  1. Answer the question: Is the consideration less than the unencumbered value of property included in this transaction?
  2. Enter the Consideration / Unencumbered value of ENTIRE property as nil ($0.00) for an exemption claim.
  3. Select Yes to the question: Is an exemption being claimed?
  4. Select s. 117 Exemption Change of Trustee from the drop-down list.
  5. Answer the question: Does this transaction form part of an arrangement that includes other dutiable transactions (Section 30)?
    If Yes, complete the remaining questions.
  6. Click Next.
  1. Click Save to validate the data entered. The status message advises of any errors in the form.

A transaction number is created, and the transaction is saved in draft.

  1. Click Summary.
  2. Click Print for a hard copy.
  3. Click the X to close the summary.
  4. Click Next.
  1. Enter your full Name and contact details.
  2. Check the box to complete your acknowledgement.
  3. Click either:
    • Submit to lodge transaction - you can then view this by using the Filter & Search function in the Lodgement Obligations tab.
    • Save to save this transaction as a draft (click the X to close) - you can then view this in Lodgement Obligations.