If you are a trustee of a trust, you need to be aware of new reporting requirements, which apply to most types of trust. Almost all UK trusts, whether they are taxable or not, need to be registered with the UK Trust Registration Service (TRS) before 1 September 2022. This will include, but are not limited to, the following:
- Discretionary trusts
- Life interest trusts created under a will where a share of property is placed in trust for the benefit of a surviving spouse
- Declaration of trusts where the legal title of property is held in the name of one party for the benefit of others
- Bare trusts where property or investments are held
There are a few exemptions to the general requirement for registration, but for those trustees who fail to register when necessary there will be penalties.
While it is understandable that some may have concerns about submitting confidential information on the TRS register, it should be noted that the this can only be accessed by those who have proved that they have a legitimate interest to do so.
In general, information will not be disclosed if the owner of the trust is below the age of 18 or if the owner is a vulnerable individual.