The trust registration service (TRS) is the government’s response to the Fourth Money Laundering Directive, all new trusts must be registered, the form 41G(Trusts) previously used to notify HMRC of new trusts was withdrawn in April and all existing trusts must also be included on the register. Every time there is a tax event in the trust the details on the register must be checked and updated if necessary.
Regular readers and private client practitioners will be aware that we have been working with HMRC to make the trust registration service better. Three areas we have been working on are:
The announcement that no penalty will be charged is confusing as it says:
“This applies for both trusts which are already registered for Self-Assessment (SA) and those which do not require to be registered for SA.”
Trusts that are not required to be registered for SA do not need to register on the TRS so would not be liable for a penalty in any event.
We will continue to press for an extension to the deadline.
The latest FAQ on the TRS can be found at the foot of this news item.