Booklet: Special Disability Trusts (SDT) (Chapter 2 – What are the requirements of an SDT?)

Booklet: Special Disability Trusts

Below is Chapter 2 of our ‘Special Disability Trusts’ booklet. To read the other chapters of our booklet, click the links below:

Please note that the information in this booklet is current as at the 2025/2026 financial year.

An SDT must:

  • Have only one principal beneficiary (the person for whom the trust is established), who must meet the eligibility criteria;
  • Provide for the accommodation and care needs of the principal beneficiary;
  • Have a trust deed that contains the clauses as set out in the model trust deed (e.g. Any trust will not qualify as a special disability trust);
  • Have an independent trustee, or alternatively have more than one trustee;
  • Comply with the investment restrictions;
  • Provide annual financial statements; and
  • Conduct independent audits when required.

Each beneficiary can only have one SDT established on their behalf. The beneficiary can have other types of trusts in addition to the SDT, but any further trusts will not qualify for the generous SDT asset and gifting concessions.

To download a PDF of our booklet, enter your email below.

 

The information contained in this post is current at the date of editing – 04 August 2025.

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