Can NTAA Corporate remove a beneficiary from an existing trust?
of an existing trust due to the risk of resettling the trust.
When a "resettlement" occurs, the old trust is considered to come to an end and a new one begins. This generally happens where the trustee undertakes to do something (a new "trust") not considered when the trust was first established by the original settlor - therefore, the trust has been "resettled".
Effectively, the old trust disposes of all of its assets to the new trust, giving rise to CGT and stamp duty issues.
We would recommend seeking independent legal advice in this situation.