Trust registration penalties eased
Non-taxable trusts need to be registered with HMRC’s Trust Registration Service by 1 September. What happens if you miss this deadline?
The scope of the Trust Registration Service (TRS) has been extended to include non-taxable trusts. You can find out which trusts need to be registered here. The deadline for the initial registration is 1 September 2022, however, as this requirement is still new, HMRC has confirmed that no penalty will be charged for a “first offence”. This covers both failure to register and late registrations.
As ever, there is an exception to this easement; If the trustees deliberately don’t register the trust on time, or there are repeated offences, the penalty will be as high as £5,000 per offence.
You may have a trust that needs to be registered that you aren’t even aware of, as it isn’t just formal trusts that fall within the scope of the requirements. For example, a bare trust arrangement, land and property where the legal owner and beneficial owners differ or will trusts.
Related Topics
-
Planning ahead for pension salary sacrifice changes
From 6 April 2029, both employers and employees will be required to pay Class 1 NI on pension contributions in excess of £2,000 made through a salary sacrifice arrangement. What can you do about it?
-
Marginal relief - responding to an HMRC nudge letter
HMRC is running a campaign to clamp down on incorrect claims for corporation tax marginal relief (MR). In what circumstances might you be challenged by HMRC and how should you respond?
-
Can you claim input tax on costs linked to electric cars?
Your business intends to go green and buy new electric cars. Can you claim input tax on the purchase of the vehicles and their subsequent fuel costs? Additionally, what recent change has been announced by HMRC?
This website uses both its own and third-party cookies to analyze our services and navigation on our website in order to improve its contents (analytical purposes: measure visits and sources of web traffic). The legal basis is the consent of the user, except in the case of basic cookies, which are essential to navigate this website.