If you are involved in a trust, you may be aware that the laws around registering that trust have recently changed and all changes and registrations must be complete by September 2022 ...
Essendon Accounts & Tax can register your trust on your behalf!
Luckily, Essendon is here to help, if you would like to talk to us about registering a trust fund please contact us. So, what exactly has changed when it comes to registering a trust in the United Kingdom?
Changes from September 2022 mean all UK trusts will have to be registered regardless of whether they have tax liabilities. Any trusts which are already registered will have to provide additional information about the beneficial owners and assets of trusts!
This includes any non-UK trusts if there is any associated income or assets coming from the UK whether it is liable for tax or not. In addition, any Trusts that have a tax liability which is covered by a relief, the trust will still need to be registered to claim the relief through self-assessment.
"Any third parties will be able to access information on the Trust Registration Service!"
After September 2022, service providers will be obligated to report any discrepancy between the information on the Trust Registration Service and the information collected as part of due diligence.
Essendon help with Registering your Trust and we are happy to support you however you need. We can answer any questions you have. Essendon can also register your trust on your behalf as an Agent. We will require a list of all beneficiaries along with other information so we will be in contact with you throughout the process.
"Keep your Trust up-to-date once registered!"
If any changes are made to the Trust itself in the future, such as adding, amending or deleting details, on both taxable and non-taxable Trusts, trustees will have 90 days from the creation of a trust or from the date of any changes made, to report the relevant information on the Trust Registration Service.
If the Trust is liable to tax for any year it must be declared on the trust register that the details of the associated people are up-to-date, this will be required whether changes have been made or not.
There are still some trusts which are excluded from the Trust Registration System, these include:
Trusts that hold money or assets of a UK-registered Pension Scheme
Life or Retirement policies providing that the policy only pays out on death, terminal or critical illness or other similar circumstances
Trusts for insurance policy benefits received after death of a person provided its paid out within 2 years of death
Some Charitable trusts
"Pilot" trusts set up before October 2020 which hold no more than £100
Co-ownership trusts for tenants in common
Will trusts
Trusts for bereaved children under 18
Financial or Commercial trusts created in the course of professional services
For full details and terms on any of the above trust examples visit the gov.uk website.
Only one trustee can register the Trust. If there are multiple trustees it's important to select who will be the person to complete the registration. HMRC will then refer to this person as the Lead Trustee for the trust.
As mentioned above, Essendon Accounts & Tax can register your trust on your behalf, so please click here to read more about it on our website.
Until next time ...
ROGER EDDOWES Business Godparent
Would you like to know more?
If anything I've written in this blog post resonates with you and you'd like to discover more about how Essendon can help you with your Trust, it may be a great idea to give me a call on 01908 774320 and let's see how I can help you.
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Roger trained at Edward Thomas Peirson & Sons in Market Harborough before working at Hartwell & Co, followed by Chancery, as a partner. He started Essendon Accounts and Tax with Helen Beaumont in 2014 as a general practitioner with a hands-on approach.
Roger loves getting his hands dirty, working with emerging, small-to-medium and family businesses to ensure they receive the best possible accountancy advice. Roger utilises an extensive network of business contacts to leverage the best guidance and practical solutions.
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