The Finance Act 2006 introduced big changes in trust taxation in relation to accumulation and maintenance trust and life interests which were in existence at 22 March 2006.
The changes will impact negatively in most cases. Fortunately, a planning door was left open during which time previously made arrangements may be able to be changed.
This closes on 5 April 2008. If you are the trustee of an accumulation and maintenance trust or a life interest, it is imperative that you review the trust settlement and take any necessary action.