HMRC’s Trustees Registration Service Deadline 5th Oct 2018
Historically Trusts have been registered with the HMRC using the 41G (Trust) form, but as from June 2017, HMRC now require all trusts to be registered via their online Trust Registration Service.
Trustees are responsible for reporting and paying tax on behalf of their trust and are also obligated to register the trust with HMRC if it pays or owes tax. For new trusts, the Trustees Registration Service (TRS) is now to be used to obtain a Self-Assessment (SA) Unique Taxpayer Reference.
So who needs to register? All UK express trusts, where the trustees have incurred a tax liability in a given tax year must register online, along with all non-UK express trusts, which receive UK source income, or have UK assets on which the trustees have incurred a UK tax liability in a given tax year.
For new trusts without a UTR who need to file a tax return for 2017-18 for the first time, the cut-off date for registration is 5 October. For existing trusts who are already registered for self-assessment or did not have any income and gains for that tax year, the deadline is later on the 31 January and will confirm existing details and advise of any relevant changes that need to be updated. These registrations may also be made by your authorised tax agent,
Potential penalties will apply should you not register your trust and these will start at £100 if it is 3 months after the deadline and rise to £300 or 5% of the total tax liability if it is more than 6 months after the deadline.