Registration of Trusts
As mentioned earlier, HMRC now require the majority of Trusts holding a value over £100 to be registered with the Trust Registration Service by no later than March 2022. Trusts that need to file Income Tax returns for assets managed will have more onerous registration requirements and a more immediate review is required if your trust has not yet been registered where it pays tax. Registration is a relatively new requirement for Trustees and it is their primary responsibility to ensure compliance.
Trusteeship
The roles and duties of trustees have changed in recent years and there is now an emphasis on due diligence and transparency for UK trusts.
If we are acting on your behalf on an existing Trust or where Rob is a trustee of a trust that relates to you, we are working to a working ‘bible’ of due diligence to cover the future registration requirements, including:
- Due diligence (ID etc) of all trustees and named beneficiaries;
- Trust registration at TRS;
- A Trust Investment Policy Statement (TIPS);
- Appointing accountants and Financial Advisors for the Trust;
- Setting up a Trust Bank Account
Trusts that involve loans
In many cases, there is practically very little work required on a day to day basis as many trust loan the value out to beneficiaries who operate all of the asset management themselves. But it is increasingly important to keep files up to date and in line with compliance and legislation requirements.
We are pleased to work with Cristine Benn who is a specialist trust administrator and concentrates on our compliance aspects and requirements with HMRC. On our first review of the matter, we will diarise the frequency of our reviews of the Trust with you and to work with your requirements. In many cases, reviewing trusts goes hand-in-hand with reviewing our clients’ estate planning and Wills.
If you’d like a chat to see how I can help, please get in touch.