HMRC Trust Register expanded
The Trust Registration Service (TRS) has now been widened to included non-taxable trusts. There are some exemptions such as co-ownership trusts where property or other assets are jointly owned by two or more people for themselves as “tenants in common”. However in many other cases trusts which had previously been exempt from registration with HMRC, will now need to be added to the TRS.
Key dates are as follows:
- Non-taxable trusts must be registered by 1st September 2022.
- Non-taxable trusts created after 1st September 2022 will need to be registered with HMRC within 90 days.
- Changes to the trust details or circumstances will need to be registered with HMRC within 90 days of the change.
A large number of trusts have been set up under Wills to hold a property or a share in a property whilst allowing a beneficiary to reside in the property rent free. Whilst these trusts did not produce any income, in most cases they did not need to be registered with HMRC. However under the updated rules, trustees will now be required to register these trusts on the TRS.
If you would like more information, or need to check the eligibility of a trust, please get in touch.
Peter Gooch is the Probate and Trust Manager at Barker Gotelee, Solicitors in Suffolk.