Taking on a trust client

Produced by a Tolley Trusts and Inheritance Tax expert

Trusts and Inheritance Tax

Guidance

This guidance note explains the practical considerations when taking on a trust client, including gathering information and defining the terms of the engagement.

Tax advisers may be the trustees of a trust, be acting as advisers to the trustees or be engaged by other professionals such as solicitors to deal with annual accounts and tax returns. Many of the considerations are the same, but this guidance note focuses on the role of the accountant or tax practitioner who is acting directly for the trustees.

Initial enquiries

An initial meeting should be with one or more of the trustees, and may also include other parties such as the settlor, beneficiaries or other relatives. However, if the trust is already established, be clear that your relationship as advisers will be with the trustees.

The first step is to find out what the trust is for and how it has been managed to date. You should obtain a copy of the trust deed as early as possible and before any meeting if possible so that

Continue reading the full document

To gain access to additional expert tax guidance, workflow tools, and tax research, register for a free trial of Tolley+™

TAKE A FREE TRIAL NOW

Popular Articles

Trusts and Inheritance Tax

Transfer of assets to beneficiaries ― legal, administration and tax issues

Transfer of assets to beneficiaries ― legal, administration and tax issuesThis guidance note outlines how assets are transferred to beneficiaries and the tax consequences that flow from the transfer. Whether a payment is income or capital is discussed in the Payments to trust beneficiaries guidance

14 Jul 2020 13:52 | Produced by Tolley Read more

Owner-Managed Businesses

Trade or hobby

Trade or hobbyInteraction of hobby farming rules and commercialityFarming has its own set of ‘hobby farming rules’, which historically have stated that a profit must be made every six years. This is known as ‘the five-year rule’, in that there can be five years of losses but there must be a profit

14 Jul 2020 13:50 | Produced by Tolley Read more

Owner-Managed Businesses

Relief for employee share schemes

Relief for employee share schemesRemuneration expenses are generally deductible for corporation tax purposes as they are considered to be incurred wholly and exclusively for the purposes of the trade. However, expenses relating to shares are usually classed as capital and are therefore not

14 Jul 2020 13:21 | Produced by Tolley Read more

UU��ֱ��