Trustees Powers

Question 1

What is the power to apply income for beneficiaries who are minors?

Answer 1

S 31 TA 1925

Trsutees have power to use income to pay for maintenance, education and benefit of beneficiary under 18, as long :

No contrary provision in trust
If beneficiaries have some kind of interest in the income (vested or contingent)

Question 2

When is the power to apply income for minor beneficiaries NOT allowed?

Answer 2

If there is a life tenant.

Question 3

What is the duty to pay income to certain beneficiaries?

Answer 3

For adult beneficiaries: trustees MUST pay income to them, if they are vested. If contingent, must wait until the satisfy whatever condition and become vested

Question 4

What is the power to pay capital to or for the beneficiaries?

Answer 4

S 32
Trustees have the power to pay or apply trust capital early for beneficiary’s advancement or benefit.

Must get life tenants consent?