As part of HM Revenue and Customs’ (HMRC) ongoing digital strategy and move for greater tax transparency, it is launching a new online Trusts Register.
PC & Paperwork The Trusts Register will give trustees a place to register and update their records online, keeping information all in one place. All trusts with a UK consequence must be registered by 31 January 2018 and the register must be updated annually.
Any new trusts or complex estates requiring a tax reference will now obtain this via the new registration service, which will replace the current paper 41G form.
The new service gives trusts and estates a single online route to comply with their registration obligations. Benefits include:
- Prevention of lost forms
- Elimination of any questions that are not relevant to your type of trust/estate
Property Management companies will also be required to register if they hold service charges or a ‘sinking fund’ and the arrangements come within Section 42 of the Landlord and Tenant Act 1987. This will be the case if funds for the companies are paid by a leaseholder under the terms of their lease.
Liz Fisher, Tax and Employer Solutions Manager at Mitchells Chartered Accountants and Business Advisers commented on the changes: “Existing trusts with a UK tax consequence will need to be registered to the new registration service to ensure they fully comply with legal obligations.
“HMRC’s digital strategy is constantly being developed and will ultimately make things a lot easier for tax-payers in the future, as long as they know how to fully comply with their responsibilities. Until then, however, it’s a learning curve for everyone and people must ensure they don’t miss HMRC’s deadlines.”
To find out more about how Mitchells can help you register on the new Trusts Register and Registration Service, please get in touch on 01246 274 121.