BARE TRUSTS:
These do not fall into the new trust taxation regime as they are held for a beneficiary who is absolutely entitled to the trust fund.
FINALLY:
The new trust taxation regime payable from April 2008 and effective from March 2006 will apply to all lifetime trusts and Will trusts in excess of the nil rate band, however, in many cases, where the testator or settler consider it necessary to protect a beneficiary from their own immaturity, the additional "overheads" relating to all trusts in excess of the nil rate band may still be a viable option especially where the ongoing tax charges are unlikely to exceed the possible IHT charge on the death of a settlor/testator.
For Advice and more Information:
Contact us
