Trusts
Trusts can be very valuable vehicles for safeguarding family and business interest, however they can be complex legal arrangements. We are here to guide trustees through the technical detail, providing efficient administration to ensure everyone benefits as they should.
Rely on us to help safeguard family and business assets with expert trust administration services
Trusts can be a very useful vehicle for safeguarding family and business assets, enabling wealth to be managed efficiently and to be passed to future generations. Legislation and the tax regime are constantly changing and it is therefore important to make sure your trust is being managed and administered correctly.
By assisting trustees with a trust’s tax affairs, management and administration we enable them to concentrate on running the trust effectively and efficiently for the benefit of all the relevant parties.
Trusts administration services
Our team has extensive trust administration experience and can help to manage your trust’s accounting and tax reporting requirements in a collaborative and efficient manner. We are also able to provide accounting services to ensure that the trustees have up to date and accurate information available to them.
Trusts can be liable to a range of tax compliance issues depending on how they are structured. Making sure that all compliance issues with HMRC are dealt with is vital to the efficient management of a trust. We can help with the tax compliance issues affecting the trust including any reporting obligations.
Our team can assist trustees in choosing the most appropriate people to manage the investments and banking and advise on ongoing monitoring of performance.
Trust tax planning & compliance
Whether you wish to create a trust, end one, or any event in between, our team will work tirelessly to provide a pragmatic and tax-efficient solution.
We can also deal with all of a trust’s obligations under self-assessment, producing timely and accurate annual tax returns, not only for the trust, but also for beneficiaries. When required, our team can also use their considerable experience to liaise with HMRC to achieve the best results.
Additionally, our team can calculate the Inheritance Tax due and complete your Inheritance Tax returns for chargeable events including when making additions to trust or distributions out of the trust, along with any periodic charges. We can monitor a trust’s Inheritance Tax status to ensure that chargeable events are not missed.
The Burnside Partnership Trust Corporation Ltd (TBPTC)
A trust corporation is a company that undertakes the administration of trusts and estates. TBPTC is an independent UK incorporated company. TBPTC exists solely to be appointed as a professional executor or trustee and can act as a fiduciary.
As such, TBPTC can administer financial assets that are held within a trust on behalf of others. TBPTC can also be named as executor in a Will. TPBTC will instruct The Burnside Partnership to carry out legal and compliance work, and may in some instances instruct other professionals.
Why use a trust corporation?
Appointing an independent, professional trust company to be your executor or trustee can relieve family or those close to you from the burden of administration. A trust corporation is impartial and neutral.
An alternative is to appoint an individual as executor or trustee. However, many clients prefer to appoint a trust corporation as it ensures continuity in that there will always be someone available to act and is not dependent on one named individual.
If you have any questions about The Burnside Partnership Trust Corporation Limited, please do not hesitate to contact Anna Burnside.
Frequently asked questions
Helping you make sense of Trusts
What is a Will Trust?
A Will Trust is an arrangement which comes into effect on the death of the person who sets it up. It is usually contained in that person’s Will. It grants those named as trustees control over assets on behalf of others (the beneficiaries). A beneficiary can be anyone, including people who’ve not yet been born (such as grandchildren). There are lots of ways the trust can be set up to best benefit the beneficiaries depending on their individuals needs and circumstances.
What is a Discretionary Trust?
Discretionary trusts are trusts where no beneficiary has a present right to the present enjoyment of the income. It is up to the trustees to decide how much beneficiaries receive and when. This allows a person to hold onto their assets without being the legal owner. This has significant advantages, including flexibility and versatility.
What is a Life Interest Trust?
A life interest trust allows the beneficiary to have use of certain of the settlor’s property during their life time but on their death the property passes to another person. This includes, for example, the use of a house during a spouse’s life time but with the house passing to children on the spouse’s death.
What is a Trustee?
A trustee is the legal owner of the assets held in a trust. They are responsible for managing the assets according to the settlor’s wishes and the terms of the trust. Trustees have a number of legal duties.
How can a Trust protect assets?
A trust can protect assets in variety of ways, for example, by:
- Managing the assets for beneficiaries who are not capable of looking after them themselves
- Ensuring that a family business remains in the family
- Reducing inheritance tax liabilities
Who can set up a Trust?
Anyone over the age of 18 can set up a trust. A trust deed must be drawn up, giving details of the trustees and beneficiaries. It should also specify how the trust should be run and which assets will be put into the trust. The assets can then be passed into the trust.
Examples of the trusts services we provide
We can provide a tailored service for each trust depending on the circumstances and the individual requirements of the trustees.
Below are examples of the services we can provide:
- acting as trustees
- advising charitable trusts
- preparation of interim and/or annual accounts
- checking and reconciling investment manager information
- provision of bespoke management reports
- completion and submission of trust tax returns
- completion and submission of inheritance tax returns dealing with ten year anniversary charges and exits from a trust
- calculating tax liabilities and advising trustees of amounts due and payment dates
- advising trustees on payments to or on behalf of beneficiaries
- preparing trustee resolutions
- attending trustee meetings
- liaising with other professional advisers such as banks, investment managers, property rental agents etc.
Our team are here to support you every step of the way
Meet our expert team
Our clients value our technical excellence, in-depth knowledge and yet friendly and down-to-earth approach. We have a strong team ethos and value the contribution of every member of our staff to the client service we strive to deliver.
Alison Craggs
Partner
Caroline Belam
Partner
Joanna Ensor
Partner
Anna Burnside
Senior Partner
Sabrina Underwood
Senior Associate
Case Study | July 2020
Tax implications where funds are added to a trust
Our client approached us for advice on Inheritance Tax reporting in relation to a family trust.
Source | 2024
“I have a family trust established in 2009, with a ten-year reporting requirement for inheritance tax purposes. This needs to be dealt with on the coming 2019 anniversary. I would like advice on the liability due and guidance on how the trust will be affected in future.”