Do I need to register my trust?
If you are a trustee, personal representative or executor you may need to register your trust under the Trust Registration Service, even if there is no tax liability.
What is the Trust Registration Service (TRS)?
The Trust Registration Service (TRS) is managed by HMRC. It is how the government keep a record of trusts in the UK.
Which trusts need to be registered under the TRS?
Under the new rules most UK trusts will need to be registered under the TRS. The rules for registration differ depending on whether the trust is taxable or non-taxable.
Who is responsible for registering the trust under the TRS?
The trustees must register the trust under the TRS. In cases where there are more than one trustee then all trustees have a joint legal responsibility to register the trust. The trustees should decide between them which trustee will be the ‘lead trustee’ and will register the trust under the TRS. That lead trustee will be the main point of contact for HMRC.
The trustees can register the trust themselves here or instruct a solicitor to register the trust on their behalf.
What information must be included in the registration?
All trusts must provide the following information:
- the lead trustee
- the other trustees
- the settlor
- the beneficiaries
If the trust is taxable, you will need to provide further information.
What happens after a trust has been registered?
If there are any changes to be made after the trust has been registered, the lead trustee must update the details under the TRS. This can be done by logging in via the Government website, using the unique user ID for the trust. This will have been provided when the trust was originally registered.
What happens if a trust is not registered?
Trustees could face a penalty from HRMC of £5,000 per trust for any failure to register on time or keep the register up to date. You should not wait for the HMRC to contact you before you register/update the trust.