Not sure how prevalent that is, as far as the problem (tax...

Not sure how prevalent that is, as far as the problem (tax minimisation) is concerned. Most companies would distribute through a P/L type arrangement, unless they have a trust to purchase equipment, businesses, etc.

The quickest way to shut down anything that is considered to be a rort, is look to the practises of accountants, who concentrate in this area.

There's a mate of mine, whose accountant has set him up family trusts, SMSF's, trading and holding company, and he is paying $8,000 a year for the privilege, and his tax benefits (net saving) come nowhere near the 8k. If anything, it may shake up accountants, who are over-recommending structures for people/entities that cannot be substantiated, with their earnings.