Hi,
My father passed in March 2025. I was the executor of his will.
My nephew was willed a small sum of money by my dad.
The solicitor who handled the probate and distribution of dad's will advised I needed to set up a trust account to hold my nephew's inheritance until he turns 18. I was not given any instruction on how to do this.
I went to a bank (BOQ) and discussed the situation and they established a Testimony Trust account for my nephew. This account is a Term Deposit - initially 6 months.
Once that first term expired, interest was paid on the account and all moneys rolled over for another 12 month term deposit.
Unfortunately, a high percentage of that interest was withheld.
- Based on what I have read within the ATO site, as the money is from an inheritance to a minor, it should be excluded from having the tax withheld. Is this correct?
- If that is correct, what do I need to do related to the account to have the withheld interest returned, and future interest not taxed?
Thank you
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36 views2 replies
2 replies
36 views
2 replies