Taxation of trusts—income tax and capital gains tax

View Private Client by content type:

Latest Private Client News

Featured Private Client content

Practice notes
The term 'relevant property' defines a category of trust property which is subject to a special regime for inheritance tax (IHT). As described in...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 12th Jan
Practice notes
On the face of it, there would appear to be no specific impediment, if there is no reason to suppose that a person is without capacity, in them...
Read More >
9th Nov
Practice notes
Offshore income gains (OIGs) are gains realised on the disposal of interests in offshore funds which are either:•non-distributor offshore funds, or...
Read More >
9th Nov
Practice notes
The issue of sham is most likely to be raised by the settlor's creditors or former spouse if the settlor is involved in matrimonial proceedings, who...
Read More >
9th Nov
Practice notes
A trust is formed either by lifetime gift or on death when a person (the settlor) transfers assets to another person or persons (the trustees) to hold...
Read More >
Produced in partnership with Mourant Ozannes and Carey Olsen 12th Jan
Practice notes
When trustees are engaged in trust litigation, issues often arise as to how their litigation costs are to be funded. A Beddoe application is the best...
Read More >
Produced in partnership with Kate Davenport QC of Outer Temple Chambers and Adele Isaacs of Bankside Chambers 12th Jan
Practice notes
This Practice Note outlines Bermuda trust law and focuses upon its unique features and recent reforms, such as Bermuda's regime for private trust...
Read More >
Produced in partnership with Vanessa Lovell Schrum and Caljonah Smith of Appleby, Bermuda 12th Jan
Practice notes
This Practice Note provides guidance on Cayman Islands STAR trusts. For general information about the Cayman Islands, see Practice Note: Private...
Read More >
Produced in partnership with Mourant Ozannes and Carey Olsen 12th Jan
Practice notes
Trust litigation has been classified as being of three types:•a dispute as to the trusts on which trustees hold the subject matter of the settlement•a...
Read More >
9th Nov
Practice notes
Where a beneficiary either:•is a minor (ie under the age of 18) and unmarried or•has attained majority or has married under that date but is required...
Read More >
9th Nov
Practice notes
Duration of a trustThe duration of an express trust is subject to the restrictions imposed by the rules against remoteness of vesting and against the...
Read More >
9th Nov
Practice notes
Duty to distribute to the correct beneficiariesOn the termination of the trust, the trustees are under a duty to distribute the trust assets to the...
Read More >
9th Nov
Precedents
This Deed of Appointment is made on [date] by [trustee] of [address] and [trustee] of [address] (the Trustees).Background(A)This Deed is supplemental...
Read More >
9th Nov
Precedents
This partial deed of revocation is made on [date] by [donor] of [address].1I granted a Lasting Power of Attorney for [Financial Decisions/Health and...
Read More >
9th Nov
Practice notes
Liferent trustsA liferent trust (or trust liferent) is a trust which, when settled, confers a use and income benefit, or both, in the trust property...
Read More >
Produced in partnership with Peter Murrin of Turcan Connell 12th Jan
Practice notes
An offshore trust is any non-UK resident trust. The liability of trustees of an offshore trust to UK inheritance tax (IHT) is not dependent on the...
Read More >
Produced in partnership with Jenny Wilson-Smith and Emma Haley of Boodle Hatfield 12th Jan

Most recent Taxation of trusts—income tax and capital gains tax content

Practice notes
Where an asset is acquired or disposed of otherwise than at arm’s length (ie there is a gift or a transfer at an undervalue), this is a disposal for...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 16th Apr
Practice notes
Capital gains tax (CGT) rules have historically provided generous relief for business owners who dispose of their business. Previously relief was...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 16th Apr
Practice notes
FORTHCOMING CHANGE: The EU Fifth Anti-Money Laundering Directive (5MLD) was published in the EU official journal on 19 June 2018 and came into force...
Read More >
16th Apr
Practice notes
Whether a property transaction is an investment or trading (ie dealing) activity is of key importance to each of the parties to the transaction since...
Read More >
9th Apr
Practice notes
Reasons for restructuring a trustRestructuring a trust may be undertaken for a number of purposes, including to:•restrict the class of...
Read More >
9th Apr
Practice notes
The purpose of this Practice Note is to set out an overview of the key capital gains tax (CGT) reliefs and exemptions applicable to business assets...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott, based on material originally written by Stewart Jordan and Alexander Massey 9th Apr
Practice notes
This Practice Note sets out the special income tax and capital gains tax (CGT) treatment of trusts for disabled persons. For guidance on how to make a...
Read More >
Produced in partnership with Phillipa Bruce-Kerr of Harrison Clark Rickerbys and Lynne Bradey of Wrigleys Solicitors LLP 9th Apr
Practice notes
The rules relating to settlor interested trusts are anti-avoidance rules, aimed at ensuring that a settlor cannot avoid tax on assets of which they...
Read More >
9th Apr
Practice notes
FORTHCOMING CHANGE: As originally announced at Autumn Budget 2017 and followed up by written statement after Spring Statement 2018, plus an...
Read More >
9th Apr
Practice notes
BREXIT—end of the implementation period: This Practice Note contains references to EU derived domestic legislation (preserved legislation). As of exit...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 9th Apr
Practice notes
CORONAVIRUS (COVID-19): Previously, the government announced that payments on account of income tax by trustees (who were due to make a second payment...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 9th Apr
Practice notes
It is possible for trustees or personal representatives to be trading. For example, if a self-employed trader dies, the personal representative might...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 9th Apr
Practice notes
It is common for trustees or personal representatives (PRs) to run a property business. A property business is one which generates income from land...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 9th Apr
Practice notes
This Practice Note outlines the rules governing expenses incurred by trustees running a trust.Tax deductible expensesAs for individuals and trading...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 9th Apr
Practice notes
This Practice Note explains how trustees of bare trusts are treated for income tax and capital gains tax (CGT) purposes. Although a bare trust is, in...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 9th Apr
Practice notes
The trustees are together treated as if they were a single person (distinct from the individuals who are the trustees of the trust from time to...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 9th Apr
Practice notes
This Practice Note highlights some features of the taxation of investment income which apply specifically to both discretionary and interest in...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 9th Apr
Practice notes
A ‘sub-fund’ of a trust is said to exist when a specific asset (or specific assets) of the trust are held subject to separate and distinct trust...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 9th Apr
Practice notes
FORTHCOMING CHANGE: On 14 July 2020, the Office of Tax Simplification (OTS) published its online survey and a call for evidence to seek views about...
Read More >
9th Apr
Practice notes
Capital losses arising to trustees are calculated in the same way as they are for individuals (for further guidance on capital losses for individuals,...
Read More >
Produced in partnership with Paul Davies of Clarke Willmott 9th Apr

Popular documents