QUESTIONS WITHOUT NOTICE

Senator WONG (South Australia—Minister for Foreign Affairs and Leader of the Government in the Senate) (14:00): Thank you, Senator Kovacic. I won't divert on this, but you have seen, from the work that Minister Gallagher and Minister Plibersek have done, the commitment that we have to doing whatever we are able as a government to combat and confront family violence.

In relation to the trust arrangements, I'd make a few points which I think are relevant here. The vast majority of Australians—that is, some 95 per cent of Australians—do not receive discretionary trust income. And, as I said yesterday, the vast majority of small businesses don't operate through a trust.

In relation to the distribution arrangements, the reforms, as I understand them, do not limit the flexibility of discretionary trusts to add beneficiaries. The government is providing an additional option for trusts to elect to make fixed distributions, and the trusts do retain the flexibility to change their approach in the future. New beneficiaries can be added—for example, when someone passes away.

There are already integrity rules that relate to distributions from trusts, including to minors. Obviously, those rules were put in place over 40 years ago when Mr Howard was the treasurer. You would also be aware that the changes that the government has put in place, which include better aligning the taxation of assets and income, have enabled the delivery of a new permanent tax cut for every working Australian.