Due to launch in June 2017, the 'HMRC Trust Registration Service' will require all trusts with potential UK tax liabilities to be registered.

Key Points

  • All trusts with potential UK tax liabilities need to be registered via this service.
  • HMRC's plan is to launch this in June 2017. As of May 2017, the registration service has not been launched.
  • HMRC have asked customers to delay notifying it of new trusts or complex estates until the new Trust Registration Service is operational.
  • See below for a guide to how Wrigleys can help trustees.

Background – HMRC's digital strategy

As part of HMRC's wider digital strategy, it is removing the ability for trustees to register and update trust records with HMRC in a paper format, such as via the trust tax return.

Trust Registration Service – new online system

To replace paper, a new service known as the Trust Registration Service is being introduced.

This online system will require trustees to report the trust details to HMRC and update the register annually.

All trusts with potential UK tax liabilities need to be registered via this service.

What is the timescale?

HMRC are currently developing their software and have indicated that they plan to launch the Trust Registration Service in June 2017.

What do trustees need to do?

  • Register HMRC online services in anticipation of details released by HMRC in June 2017 about the Trust Registration Service
  • Once released, the following details will be required (so have these to hand):
    • Details of the trust assets (including the type of trust and value)
    • The identity of the settlor, trustees, beneficiaries and all other persons exercising effective control over the trust (including names, dates of birth, NI numbers, passport numbers for non-UK residents).

What types of trusts are affected?

All trusts which complete a UK trust and estate tax return including:

  • Employee Ownership Trusts who complete a trust tax return
  • Discretionary trusts
  • Interest in possession trusts
  • Charitable trusts