Confused on Discretionary Trust

[Jim]

Hi

I would really appreciate some help on this issue as I do find this subject very confusing.

My wife and I paid for my Mums flat approx 1 year ago.

It was decided at that time to put the property in to a Discretionary Trust as my mother is still living in the property.

I believe we have been set up as both the trustees and the beneficiaries.

It is our intention to rent the flat to provide an income for us in the future.

I wonder how CGT affects us and what is the best course of Tax planning (Would it be better to pay a regular income or a one off fee)

Also, we may want to do a similar thing with my fathers flat but would need to raise a loan to purchase the flat.

Is it possible for the trust to borrow the money or is this something we need to do personally.

Your help would be greatly appreciated.


Regards



Jim

[cranleys]

Jim

The CGT on the Trust is very similar to an individual with different rates.

Always available to assist.

Colin Davison
colin.davison@cranleys.co.uk

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