As commercial dealings (and the tax rules relating to them) become more complex, so do the considerations that need to be taken into account in family law property settlements.

The whole 10,000 pages of tax legislation does not need to be considered in every case, but tax costs impact on the pool of funds available, and the overall tax cost may be determined by decisions made at property settlement time.

Trying to find solutions to tax problems after the property settlement window of opportunity has closed will certainly not be any cheaper or easier than putting tax matters on the table during settlement negotiations.

Property settlements may involve the movement of assets between parties, or from businesses, changing control of entities, dealing with loan accounts, and carving up other major family assets such as superannuation. Tax issues to be taken into account may include capital gains tax, stamp duty, Division 7A, GST, tax treatment of specific entities such as trusts and partnerships, losses, or superannuation.

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