Case run by Prudential PartnersLandmark decision in taxation of Australian trusts The Full Federal Court handed down the much anticipated decision in Bamford v Commissioner of Taxation. The case deals with the basis upon which beneficiaries of trusts should be assessed for tax purposes. The decision is of significant importance to those involved in the administration of trusts and the funds management industry more generally, particularly in the lead up to year end distributions. The Commissioner's arguments in Bamford sought to limit the ability of the trustee to give effect to the terms of trust deeds in determining how a liability to tax will be determined. The Court decided that the terms of the deed should prevail in determining the "income of the trust" to which beneficiaries are presently entitled and are assessed to tax. | 
