.png)
.png)
More basic principles of trust tax pools
KEY POINTS
- A recap of the basic principles of trust taxation.
- Trustees’ expenses matching rules and the applicable tax rates.
- The tax liabilities attaching to discretionary distributions to trust beneficiaries.
- Tax liabilities when there is an interest in possession.
- Do not overlook other issues such as settlor-interested trusts and a settlor’s unmarried minor children.
In last week’s Playing pool we considered the income tax liabilities of a discretionary trust – the ABC Trust (below; click image to enlarge) – and the need to maintain a tax pool.
This will ensure that the tax liability which forms a credit against distributions to beneficiaries has been paid.
The previous article looked at the liabilities for 2011/12 2012/13 and 2013/14. This article considers the tax position...
Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.
Please reach out to customer services at +44 (0) 330 161 1234 or 'customer.services@lexisnexis.co.uk' for further assistance.
