That tone contributed to making leagues like ours distribute income fairly.

Family trusts are often used to distribute income to beneficiaries in an attempt to achieve the most desirable tax outcomes available to the members of the trust.

With all faith in the system now lost, taxes on capital income should be abolished and replaced with a tax on distributed income.

However, distributing income may negate the purpose of setting up the trust.

Taxing the distributed income would be a clearer approach and easier to administer because individuals receiving the income were less mobile than profits, 'therefore reducing avoidance'.