Trust & Estates

Trusts and estates represent a complex area where only true specialist knowledge will suffice.

Our dedicated and enormously experienced team has the technical wherewithal and professional insight to deliver sound advice across an array of trust and estate situations.

We are particularly well placed to assist trustees with difficulties in calculating tax liabilities, completing tax forms ahead of deadlines, and preparing accounts, as well as helping solicitors who have pressing legal matters to deal with.

We also assist accountants who want to maintain contact with their client, but do not have the specialist expertise or time to cost-effectively complete Inland Revenue-compliant annual accounts and income tax returns.

Our service includes:

Trusts

  • Annual accounts
  • Income tax returns
  • Income and capital gains tax computations
  • Distributions to beneficiaries, including preparation of related tax certificates (forms R185 / R185E)
  • Day to day administration

Estates

  • Accounts for the period of administration
  • Ongoing annual accounts for will trusts
  • Income tax returns for the period of administration
  • Income and capital gains tax computations
  • Estate administration – collection and distribution of assets

Inheritance tax and estate planning is a further area where are specialists use their expertise to add value. As well as advising on the planning of wills and trusts, some of our partners act as executors and trustees, while continuing to advise families on financial matters.

We look after a wide variety of trust situations including: life interest; discretionary; accumulation and maintenance; charitable; and bare trusts.

Achieving the best use of Trusts

With an Income Tax rate for many Trusts at 50%, it has never been more important to get it right, whether planning a new Trust or managing an existing one.

The design and management of Trusts can be complex, affecting the rights and tax liabilities of the settler, the beneficiaries and (in some cases) the Trustees. However, used properly they play a number of vital and unique roles:

  • in protecting your capital from predatory relatives or creditors
  • planning to minimise taxation (Inheritance Tax, Income Tax or Capital Gains Tax)
  • allowing one person to benefit from income in their lifetime, while preserving the capital for someone else
  • to allow a trustworthy person to protect and manage the affairs of the vulnerable

They come in a variety of guises. By way of examples:

  • a formal Settlement made in your lifetime taking assets permanently out of your estate
  • part of your Will, to look after assets left for the benefit of minor children or young adults
  • a short term initiative to pass certain assets to others, without triggering Capital Gains Tax
  • a simple arrangement between spouses to make best use of tax allowances and lower rates of taxation
  • a paragraph attaching to an insurance policy to make sure any cash due on your death is paid to your heirs free from 40% Inheritance Tax

Some Trusts must by law be reviewed every ten years, resulting in a measure of Inheritance Tax becoming payable. Making such reviews before the critical date may be crucial to minimising taxation and other avoidable costs.

We are used to working with our clients, their solicitors and financial services advisers to achieve the best use of Trusts, and to make their management as simple and trouble-free as possible.

Require more information?

If you would like more information or would like to speak to us direct then call us on 020 8863 3337. Or if you would prefer, ask us a question online.