Trusts should show at label M amounts, including salaries, wages, commissions, superannuation contributions or allowances paid to the trustee's relatives or partnerships in which a relative of the trustee is a partner, associated persons or domestics. This amount should also be included at Item 42.
Item 44 should reflect amounts calculated for tax purposes.
Refer to Payments to associated persons on the ATO website.
You should also include the amounts of salaries and wages paid to an associated person, relative, principal, agent, related entity and/or associate entity at item 43 Total salary and wage expenses.
Excessive payments to a relative or other related entity may not be deductible (see section 26-35 of the ITAA 1997). Keep a record of the following to establish the reasonableness of remuneration:
full name of relative or other related entity
age, if under 18 years of age
nature of duties performed
salaries or wages claimed as deductions
other amounts paid - for example, retiring gratuities, bonuses and commissions.