Sell your units in a unit trust

We will help you transfer your unit trust interest to a buyer on terms that correctly reflect the value of your interest and comply with the requirements of the trust deed.

Selling your units in a unit trust requires more than agreeing a price. The trust deed governs how the transfer must proceed, whether existing unitholders have first refusal, and what trustee consents are needed. The tax and stamp duty consequences also affect how the transaction is structured. We make sure the transfer is valid, the documentation is complete, and your obligations as a unitholder are properly concluded.

What is involved in selling your units in a unit trust?

Selling units in a unit trust involves transferring a beneficial interest in trust assets at an agreed price. The trust deed sets out the transfer process, including any pre-emptive rights, trustee consent requirements, and restrictions on who may become a unitholder. The tax treatment depends on how long you have held the units and whether small business capital gains tax concessions in the Income Tax Assessment Act 1997 (Cth) are available. Stamp duty is payable by the buyer in many jurisdictions where the trust holds dutiable property.

What restrictions apply to the transfer of my units?

The restrictions on transferring your units depend on the trust deed and any unitholders agreement. Common restrictions include pre-emptive provisions requiring you to offer units to existing unitholders first, trustee consent requirements, and limits on who may become a unitholder. A transfer that does not comply with these provisions may be invalid.

What are the capital gains tax consequences of selling my units?

The CGT consequences depend on how long you have held the units, your cost base, and whether the small business CGT concessions under the Income Tax Assessment Act 1997 (Cth) are available. If held for more than 12 months, a 50% CGT discount may apply. CGT advice specific to your circumstances should be obtained before the transaction is structured.

Who pays stamp duty on the transfer of unit trust units?

Stamp duty is generally payable by the buyer. If the trust holds real estate, the buyer typically pays duty on a proportion of the property value based on the units being transferred. The stamp duty position affects how the transaction is priced and should be factored into negotiations.

What documentation is required to complete the transfer?

A unit trust transfer typically requires a unit transfer agreement, a transfer instrument for the trust’s records, any trustee consent required by the deed, and evidence that pre-emptive rights were complied with. We prepare and manage all documentation required to complete the transfer and update the trust’s records.

Transfer structured to comply with the trust deed.

Tax position confirmed before the transaction is priced.

Documentation that concludes your interest cleanly.

A unit trust transfer done correctly requires more than a price agreed between buyer and seller.

The trust deed, the tax implications, and the stamp duty consequences all need to be addressed before the transaction is finalised. Getting the process wrong can result in a transfer that is invalid or that creates unexpected costs for one or both parties.

Agreeing on a price is only the beginning of a unit trust transfer.

You have found a buyer and agreed a price. But the trust deed may restrict how the transfer proceeds, existing unitholders may have first refusal, and the tax and stamp duty consequences have not been confirmed. A transfer that does not comply with the trust deed is invalid.

We will review the trust deed to identify any restrictions, pre-emptive provisions, and consent requirements.
We will advise on the CGT treatment and any applicable concessions.
We will advise on stamp duty payable by the buyer.
We will prepare all documentation required to complete the transfer and update the trust's records.

You have found a buyer for your units and you want the transfer to proceed without complications.

The buyer is lined up and the price is agreed in principle. But you are not certain whether the trust deed requires you to offer the units to other unitholders first, whether trustee approval is needed, or what the CGT and stamp duty consequences are. You want to complete the transfer correctly and conclude your obligations as a unitholder.

What's included in your unit trust transfer service

Trust deed review and transfer restriction advice.
Pre-emptive rights compliance and notification.
Trustee consent coordination.
CGT advice and small business concession eligibility assessment.
Stamp duty advice for the buyer.
Unit transfer agreement preparation.
Trust record update.

What goes wrong when unit trust transfers are not properly structured?

Unit trust sellers who skip proper advice regularly encounter problems that delay or derail the transaction. A transfer that misses pre-emptive provisions can be declared invalid after settlement. A seller who has not obtained CGT advice may have structured the deal in a way that forecloses access to the small business concessions. A buyer who was not advised of stamp duty may renegotiate or walk away. All of this was avoidable with proper advice at the outset.

Here is how we complete your unit trust transfer correctly and efficiently.

We review the trust deed to identify what is required for a valid transfer, including pre-emptive rights, consent requirements, and restrictions on new unitholders. We advise on CGT and stamp duty before the price is finalised, prepare all documentation, and manage the process through to settlement and trust record update. Your obligations as a unitholder are properly concluded at completion.

Three steps to a clean unit trust transfer.

Trust deed complied with, tax position confirmed, transfer completed correctly.

Review and advise.

We review the trust deed and any unitholders agreement to identify what is required for a valid transfer, and we advise on the CGT and stamp duty consequences before the price is finalised.

Comply and document.

We manage any pre-emptive rights process, obtain trustee consent where required, and prepare the unit transfer agreement and associated documentation.

Complete and conclude.

We manage settlement, update the trust's records, and confirm that your obligations as a unitholder are properly concluded at the point of transfer.

Commercial lawyers experienced in unit trust transfers and the tax and stamp duty issues that arise in connection with them.

We have acted for unit trust sellers across a wide range of trust structures and asset types. The combination of trust deed compliance, CGT planning, and stamp duty advice required to complete a unit trust transfer correctly requires careful coordination. We make sure the transfer proceeds correctly the first time and that your obligations are properly concluded at settlement.

We understand you want to know the cost, before we get started.

We will map out our process, from beginning to end, so you know what the journey will look like before you get started.

We will provide you with a clear and detailed Work Proposal covering each step along the way.

Our fair fees are all-inclusive. No hidden costs for telephone calls, emails, photocopying, couriers, or coffee.

Our great lawyer guarantee

We want to be part of your team over the long term. We achieve this by adhering to these core principles:

Take the time

We listen carefully to understand what you want to achieve. Then we thoroughly explain our advice and step you through the documents. You can be sure you know the full consequences.

Share our knowledge

We will pass on as much knowledge as we can, so you can make your own informed decisions. We want to make you truly independent.

Stick to our knitting

We only do what we're good at. You can be confident that we know what we're doing and don't pass on the cost of our learning.

Work as one team

Someone will always be available to answer your questions, or point you in the right direction. You will also benefit from a range of perspectives and experience.

Fair pricing

For advice and documents, we provide a fixed or capped quote so you don't take price risk. If you're in a dispute, we map out the process and costs so you know what to expect.

It's your show

We're not in this for our egos. We're in it for a front row seat to witness your success.

Ready to transfer your unit trust interest on terms that protect you?

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