The UK Government has recently brought about legislation to increase the transparency of UK-based Trust arrangements. This wide-ranging legislation requires Trustees of UK Trusts to register key information about the Trust, it’s Trustees and potential beneficiaries with HMRC via their Trust Registration Service.
Please be aware that the above requirements will apply to ALL Trusts, not just those established and managed by GSI Wealth Management Group. However, a key exemption are those Trusts that are included within a Last Will & Testament, which are not yet in force.
All Trusts must be registered with HM Revenue & Customs by 1st September 2022.
Failure to register your Trust(s) will incur penalties from HMRC.
Who does this relate to?
All taxable Trusts, all UK express Trusts, non-UK express Trusts and Non-express trusts and specifically (excluded express trusts which have a tax liability) are required to register using the HMRC Trust Registration Service. Whilst there are a few exceptions, where some Trust do not require registration, they are few and far between. To this end, we strongly suggest registering your Trust(s) as soon as possible to avoid penalties being applied by HMRC. Trusts will require registration regardless of whether there is a Tax Liability due.
Further information regarding the HMRC Trust Registration Service can be found here: https://www.gov.uk/hmrc-internal-manuals/trust-registration-service-manual/trsm23030
How to register your Trust?
To register your Trust, you’ll need to login to HMRC online and register using your Government Gateway user ID. You’ll need the name and date of when the Trust was created and details about the Trust, which you should be able to find in the Trust deed.
A Unique Taxpayer Reference (UTR) will be required when submitting Trustee Tax Returns to HMRC moving forward. Failure to register the trust, and secure the resultant UTR, before the relevant Trustee Tax Return submission date may also incur late payment penalties from HRMC.
Further HMRC guidance (including exemptions, who should register and what information is required) can be found here.
Unfortunately, GSI Wealth Management are unable to register Trusts on behalf of our clients. However, should you have any questions please do not hesitate to get in touch. Please give yourself plenty of time to gather the information required to avoid penalties being applied.
Please click the link below to sign in and register your Trust: Register trusts on gov.uk here.
We are in the process of establishing relationships with local Accountancy practitioners who will be able to assist with any Trustee Tax Returns that are due because of the registration process.
Should you have an existing relationship with an Accountant, we would strongly suggest consulting with them throughout this process. Should you require an introduction, please contact us.