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No, it isn't, because even though the trust might be entitled to, and distribute, the capital gains discount to an individual, not all individuals might be eligible to claim that same discount.

Just one example: if an individual has brought forward capital losses, those capital losses must be applied to the grossed up capital gains from the trust, before any discount is applied to the remainder. There are also special rules that affect an individual's eligibility to claim the CGT discount, depending on how past year's distributions from the trust were distributed among beneficiaries.

Also, when a company receives a distribution from a trust that includes a discounted capital gain, the company must gross up that capital gain by the amount of the discount when it is completing its tax return. This includes distributions from ETFs and listed property trusts. The company isn't entitled to any CGT discount.

The use of trusts in tax planning has changed quite a bit over the last 20 years or so. It is now common to use a dual trust structure, one trust containing assets that may in the future be subject to a capital gain, the other trust receiving all income, including franking credit type income. Trusts are still quite an effective way to structure any family assets, business or investments, but we just have to wait now to see what the new Australian Government has to say in this regard.

KH