ok thanks 2 notes to take away,
1) children automatically become beneficiaries (does a spouse also?)
2) if i'm claiming interest i can't distribute funds to anyone by mylself
Depends on the wording of the deed. Children generally would automatically become beneficiaries but only if the wording is right. Spouse may too - but what is the definition in the deed, would a defacto be classed as a spouse.
2) Under tax law a unit holder couldn't claim interest to buy the units unless they were entitled to both income and capital of the trust. Otherwise it would make no commercial sense to invest in the units. This is the same with this socalled PIT trust.
see Taxation Determination TD 2009/17