Trust registration service: further updates

The CIOT and ATT have passed on clarification obtained from HMRC on a number of trust registration service (TRS) queries. These include:

• trusts created by a deed of variation: each person who took less under the deed than they would have done under the will is a settlor of the amount given up and should be disclosed on the register as a settlor;
• trusts created by a will: HMRC’s interim advice is that deceased is the settlor;
• corrections to the register: it is not currently possible to amend what has been submitted via the TRS and HMRC asks agents to make a file note of any amendments needed, then wait until the next release of the TRS to make the amendments, unless a change is required to the lead trustee’s details, which should be notified in writing;
• trusts paying stamp duty and SDRT: even though the regulations exclude a reference to stamp duty, HMRC confirms that liability to stamp duty will require trusts to register because the payment of stamp duty will cancel a SDRT charge that may otherwise arise;
• blank fields and workarounds: HMRC asked that the use of dummy data is kept to a minimum and that dummy NI numbers are never used; and
• confidentiality: by using assistant or admin accounts, agents can restrict access to other registrations within an organisation.

Details of the penalty regime are expected to be announced at the end of February.

HMRC has also updated its guide for using the TRS (http://bit.ly/2AP6hoY), with information on how to record details of more than two settlors of a trust. The first two should be recorded in the TRS and details of the others sent to HMRC in writing.