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Inland Revenue

Tax Policy

Special report
Published 9 April 2024

Special Report: 39% Trustee Tax Rate

The trustee tax rate has been increased from 33% to 39% for the 2024–25 and later income years. 

This Special Report outlines new rules for trusts:

  • Measures to mitigate over-taxation, including:
  • retaining the 33% rate where trustee income for the income year does not exceed $10,000 (after deductible expenses);
  • targeted rules for deceased estates and trusts settled for disabled people; and
  • exclusions for energy consumer trusts and legacy superannuation funds.
  • A measure to buttress the 39% trustee tax rate by taxing beneficiary income derived by certain close companies at the 39% trustee tax rate.