New rules came into force in October 2020 that require all UK trusts, apart from a few exceptions and some non-UK trusts in existence on or after 6 October 2020, to register with The Trust Registration Service (TRS) by 1 September 2022, including trusts that have closed since that date.
- Non-taxable trusts in existence on or after 6 October 2020 must be registered by 1 September 2022 (even if they are now closed).
- Non-taxable trusts created after September 2022 must be registered within 90 days.
- Changes to the trust details or circumstances must be registered within 90 days of the change.
- The registration deadline for taxable relevant trusts set up before 6 April 2021 is on or before 31 January after the tax year in which the tax liability occurred (or by 5 October after the end of the tax year for a first-time liability to Income Tax or Capital Gains Tax).
- For trusts set up after 5 April 2021 the deadline has been extended to 1 September 2022. Taxable relevant trusts set up on or after 4 June 2022 must be registered within 90 days of the trustees becoming liable to pay UK taxes. This also applies to non-taxable trusts. Once a trust is registered on the TRS the trustees will have 90 days from becoming aware of any changes to update the register.
What trusts are excluded from the Trust Registration Service?
- Pension schemes
- Charitable trusts
- Will trusts that are wound up within two years of death
- Policy trusts paying out on death or critical illness
- Existing trusts with a value of less than £100 created prior to 6 October 2020