The transfer of a trust's corpus from settlor to trustee is a CGT Event A False B True as long as the trustee signs a waiver guaranteeing that the settlor is not liable for any debts incurred by the trust True D Only if the corpus is valued at greater than $5,000 Question 6 1 Point Trustees may distribute tax losses to beneficiaries A Yes because beneficiaries are equitably entitled to receive the tax benefit of trust losses B False True D Only if the trust deed permits trustees to distribute tax losses to beneficiaries A beneficiary who has a present entitlement' to a share of trust income A Has an immediate right to demand payment of distributable income B Has a right to payment subject to the trustee's discretion to retain the income in the trust for the next financial year Has a right to request the trustee to distribute income at the trustee's discretion Has an immediate right to payment unless he or she has previously spent time in prison Question 8 1 Point If a beneficiary is presently entitled to a distribution of trust income but is under a legal disability then: A the beneficiary must pay tax on the income distributed B the income is tax-exempt the beneficiary is entitled to a 'legal disability tax deduction' D the trustee must pay the tax on the income distributed