Trusts

Executor of the estate of Teresa Rosenbaum (deceased) (TC2884)

A UK taxpayer who was receiving 5% withdrawals from offshore life assurance bonds has died. Potential income tax liabilities will depend upon who is entitled to the policy proceeds and whether a trust is in existence

What happens if a liability is accidentally increased? Tax normalisation may be the key

A trust was established before the major changes to the tax regime that were introduced in FA 2006. However, the terms of that trust have recently been changed

When trustees are safe to release assets subject to a capital gains tax holdover election

More information from the latest edition of the HMRC trusts & states newsletter

New IHT forms for Scottish estates have been published

Bowring and another (TC2766)

An offshore trust has undistributed income and stockpiled gains. If the trustees create a new trust out of the original trust assets, how are the income and gains apportioned?

The August edition of the HMRC trusts and estates newsletter has been published:

Inheritance tax treatment of compensation payments

HMRC Trusts and Estates have confirmed the treatment of compensation payments for inheritance tax purposes on the basis it can cause some difficulties for taxpayers and their agents, especially when compensation is received after the date of death.

There are special rules for allocating the income arising from property held jointly by spouses or civil partners and this may cause confusion

A couple jointly own a company that is about to be sold. They plan to transfer shareholdings to the value of their inheritance tax nil-rate bands to a trust shortly before sale

The Supreme Court’s decision in the conjoined  Pitt  and Futter cases shines a light on equitable remedies