Did you know that HMRC have shifted the deadline to register new trusts with the Trust Registration Service (TRS)? A new trust is one that has incurred a liability to Income Tax or Capital Gains Tax for the first time during that tax year 2016-17.
The date to register has moved from 5 October 2017 to 5 January 2018. The deadline for existing trusts to register with the TRS remains 31 January 2018.
Access for accountants to deal with this new online service has been subject to “difficulties”.
The whole process has been set up to gather information required to meet new EU anti-money laundering rules.
For larger trusts, the work that needs to be done is not inconsiderable, and practitioners should be wary of penalties imposed for late registration. And all this activity compounds the work of tax departments as they strive to meet the annual self-assessment filing deadline, 31 January 2018.
This additional compliance burden for practices with a significant number of trust clients will take what little pleasure remains from the Christmas and New Year break. The 5 January 2018 falls on a Friday, so late comers to the new trust registration process should probably aim to have registrations completed before the December year end, otherwise, late nights – and with a hangover – will probably be required.
Perhaps the powers-that-be could take note that enough is enough, no more January filing deadlines please.