The Trust Registration Service

The Trust Registration Service is a new online register managed by HMRC. It contains details that trustees must provide about the trust, the settlor, and the beneficiaries.

The Trust Registration Service was set up in 2017.  It initially only required trustees to register if the trust was liable to pay UK tax, including Income Tax, Capital Gains Tax and Inheritance Tax.

In 2020, the scope of trust registration changed because of the Fifth Money Laundering Directive. New rules, which are now UK law have extended the scope of the Trust Registration Service to include most types trusts, including Discretionary Trusts, Income in Possession Trusts, Will Trusts and Bare Trusts. These Trusts must now register by the prescribed deadlines.

How does trust registration work?

The trustees will first need to register for an organisation Government Gateway user ID and password. Details on how to get a user ID, what information is required and where to register the trust are here on the gov website: Register a trust as a trustee.

On completion of the trust’s registration, the lead trustee can select “Get evidence of the trust’s registration”. The lead trustee can then print or download a digitally signed PDF letter from HMRC confirming that the trust has been registered and providing details about the trust, the trustees, the settlor and the beneficiaries.

The trustees must ensure their trust registration is up to date. Any changes such as appointing a new trustee, or an existing trustee retiring, must be notified via the Trust Registration Service within 90 days. Failure to do so may result in a penalty.

What information needs to be provided?

All trusts registering must provide information to HMRC on the trust and the individuals connected to the trust. This includes:

• Name of the trust
• Date the trust was created
• Settlor
• Trustees
• Beneficiaries
• Any individual who has control over the trust (in some instances referred to as protectors).

When must the trust be registered?

The deadline is 1st September 2022.

Trusts created after 1st September 2022 must register within 90 days.

If you would like any further assistance on this matter, please contact us on the usual number.