If you are a trustee or personal representative, you may need to register your trust, or a deceased person’s estate, under the trust registration service (TRS).
Most UK trusts need to register under the TRS as either ‘taxable’ or ‘non-taxable.’ Read HMRC guidance on ‘register a trust as a trustee.’
If you’re a trustee of a trust within the scope of the TRS, you need to:
- Register your trust with HMRC
- Keep the information held on the service up-to-date
Penalties
If trustees fail to take either of these steps within a given time limit, HMRC can charge you a fixed penalty of £5,000. HMRC will not charge any interest on penalties.
As registering a trust is a new requirement, HMRC recognises that trustees may not be familiar with the process. As a result, a penalty will not currently be charged, as long as trustees take action to register or update information within the time limit HMRC set. Penalty charges are issued on a case-by-case basis.
Need some guidance?
At Burton Sweet, we would be pleased assist trustees with registering a trust, please get in touch for a quote…
