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Yes. Both the trustee (section 160AQY) and the beneficiary (section 160AQX) receive the imputation credit. However, the benefit is not actually allowed twice.

Under subsection 100(2), a beneficiary who is under a legal disability receives a credit for the tax paid or payable by the trustee on that beneficiary's share of the income entitlement. To calculate this credit, the gross tax payable by the trustee under subsection 98(1) is reduced by the beneficiary's share of the trust's imputation credits. This reduced amount is the credit allowed under subsection 100(2) in the beneficiary's assessment. Example :- During the year ended 30 June 1992, the ABC Trust derived a net income of $5,000, consisting of a fully franked dividend of $3,050 and the attached imputation credit of $1,950. The sole beneficiary "X" is presently entitled to the trust income, but as a minor, is under a legal disability. In addition to the entitlement to the trust distribution, X derived $2,000 of interest during the year. All income is assessable under the provisions of Division 6AA. TRUSTEE BENEFICIARY The ABC Trust would be assessed under subsection 98(1) on a taxable income of $5,000. The tax assessed would be:- The beneficiary "X" would be assessed as follows:- Franked dividend, s44(1) $3,050 Interest, s25(1) $2,000 Imputation credit, s160AQT(1) $1,950 Trust distribution, s100(1) Taxable Income $5,000 Franked dividend $3,050 Imputation credit $1,950 $5,000 Taxable Income $7,000 TRUSTEE BENEFICIARY Tax Payable on $5,000 @ 47% $2,350 Tax payable on $7,000 @ 47% $3,290 Less Less Imputation credit, s160AQY $1,950 Imputation credit, s160AQX $1,950 Tax payable by trustee, s98(1) $400 Section 100(2) credit $400 $2,350 Net Tax payable by Beneficiary $940 Note :- The combined tax paid by the trustee and the individual is $1,340, being 47% of the total income of $7,000 less the imputation credit of $1,950.