The CMN.ATO.TRT.433100 error occurs during Trust Tax Return (TRT) validation when there's an inconsistency between tax losses and net income distribution.
Common Causes
- Tax losses carried forward are reported as greater than zero while total net income (or loss) is also positive, violating ATO rules.
- Incomplete beneficiary distributions or mismatches in the Statement of Distribution (Schedule A).
How to resolve
- Open the Trust return and navigate to Losses worksheet. Set prior year losses to zero if not applicable, or ensure they don't exceed net income.
- Go to Beneficiaries > Statement of Distribution. Verify all net income is fully distributed (total must equal Item 56 net income/loss); adjust shares manually if needed.
- Run Validate again. If persistent, check Item 7A (Primary Production) and Item 8 (Non-Primary Production) for correct totals before losses.
Additional info
ATO does not allow to lodge statement of distribution with overall loss even with Capital gain. This rule is mandatory which cannot be avoided. So if there is case, it is suggested to remove amounts from beneficiary worksheets and lodge. If still needed to distribute capital gain, then fill it in IITR manually.