TRUSTS
Before the Budget 2006 we broadly had three types of trusts for tax purposes:
More importantly there is a window of opportunity for people with existing trusts to review their trusts and ensure that wherever possible they have maximised the benefits of their trusts before 6 April 2008. The clock is ticking and in some cases it may be necessary to apply to the Court to amend trust deeds so review of trusts can not be left till the last minute.
Trusts or Mesher orders used to put assets in trust on divorce may now have inheritance tax implications which will need to be considered. It is hoped that government will review the impact of the taxation implications on divorce but until then there are some existing reliefs available which may reduce the impact of the new trust legislation on divorce cases.
Erika Holden at Holden Tax Consulting is not only a Chartered Tax Adviser but also a Trust and Estate Practitioner and can therefore review existing trusts and advise on the implementation of new trusts with the right level of knowledge and expertise.
Before the Budget 2006 we broadly had three types of trusts for tax purposes:
- Discretionary Trusts
- Accumulation & Maintenance Trusts (“A&Ms”)
- Interest in Possession Trusts (“IIPs”)
- Bereaved Minor Trusts
- S71D Trusts
- Transitional Serial Interests
- Immediate Post Death Interests
More importantly there is a window of opportunity for people with existing trusts to review their trusts and ensure that wherever possible they have maximised the benefits of their trusts before 6 April 2008. The clock is ticking and in some cases it may be necessary to apply to the Court to amend trust deeds so review of trusts can not be left till the last minute.
Trusts or Mesher orders used to put assets in trust on divorce may now have inheritance tax implications which will need to be considered. It is hoped that government will review the impact of the taxation implications on divorce but until then there are some existing reliefs available which may reduce the impact of the new trust legislation on divorce cases.
Erika Holden at Holden Tax Consulting is not only a Chartered Tax Adviser but also a Trust and Estate Practitioner and can therefore review existing trusts and advise on the implementation of new trusts with the right level of knowledge and expertise.