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49 Trust - Coggle Diagram

- - - - annuity payable from Msia derived Y - fully deductible
    - - taxable - S4(e) Y, periodical payment but must be derived from Msia
      - deemed to be derived from Msia
        
        when the trust body is R in Msia; or
        
        when all income of the trust body is derived from Msia
        
        R in Msia
        
        the amt derived from Msia is annuity payable amt
        
        annuity payable to the recipient is fully chargeable
        even IF the annuity is not fully deductible
        in calculating total Y of the trustees for the YA
        
        R trust IF any trustee of the trust is R in the BP
        
        NR
        
        the amt taxable is only to the extent that it is deductible in arriving at the total Y of the trust
        
        NR trust Conditions
        must fulfill ALL
        
        Y was derived wholly from sources outside Msia
        
        was administered for the whole year outside Msia
        
        at least 1/2 of the trustees are NR in the BP
        
        trust is created outside Msia by NR ind
- - - - deductible from chargeable Y
      - chargeable Y excluded distribution and not subj to tax on trust body
      - no double tax, X S110 tax credit claimable
    - - not deductible for trust body - chargeable Y of trust still included in the distribution
      - tax will be paid by trust body on the distributed amt of total Y
      - there is double tax, can claim S110 tax credit
- - - - distribution is deductible from total Y to arrive at the chargeable Y of the trust
      - Conditions for S61(2)
        
        trust body of a trust is resident for that YA
        
        beneficiary who has a share of total Y of the trust body for that YA
        is resident for that YA
      - S61(2) X applicable to accumulated distribution