Generic selectors
Exact matches only
Search in title
Search in content
Search Posts
Search in pages
Search Products
Filter by Categories
B-BBEE
Blog
Company Secretarial
Featured
General Business
General Interest
Investing in Property
Marketing
Personal Growth
Personal Wealth
Tax
Trusts and Estate Planning

There are two types of special trust defined in the Income Tax Act

A special trust type A is a trust set up solely for the maintenance of a person, or persons, who must be related to each other, and with disabilities that prevent them from earning sufficient income to support themselves. A subset of this type of trust is a curatorship trust, which is administered by a curator, who is usually a legal practitioner appointed by the courts.

A special trust type B is a testamentary trust set up solely for the benefit of surviving relatives of the deceased, provided that the youngest beneficiary is under the age of 18.

Both types of special trust are taxed at the same rates as natural persons, and not at 45%. Note, however, that special trusts do not qualify for natural persons’ rebates, medical tax credits, or interest exemption.

Need help with your Investments?

Contact us today or set up a free meeting with our CEO, Derek Springett, to discuss your options. We have been offering expert financial advice and business services since 1971. You can also visit our online store to see our list of financial services.