Discretionary family trust pre 2006 any good books etc

[Cloisters]

HI,

I am a beneficiary (along with others) of a family trust.

I am considering administering myself (on behalf of the family) and just wondered how difficult this is please?

I have read lightly on the tax position etc., but would like some sort of authoritative text/book on the subject. I don't mind paying someone for advice as and when I need it but see no reason I cant fill in a few forms each year and pay taxes like I do for my own self assessment investments that I've been doing for years, as long as I can learn the ropes.

The trust was written in 1997 and assets at the NRB transferred in on death of settlor in 2003 (share of house). On death of surviving spouse, the house will be sold (tenants in common) so the trust will have substantial assets which we could invest and take income / capital as required or leave for grandchildren if not needed. I'm really trying to understand in advance so we don't simply wind up the trust and distribute the funds and later wish we hadn't taken that route.

I am newly and early retired so have the time and interest.

If there is a typical threshold under which it isn't worth the bother I'd be interested to hear views.

Thank you.

[maths]

Trusts are complex and not as straight forward as often thought.

Difficult to suggest books to read.

Does the trust only comprise the interest in the house in which the surviving spouse lives?

What is the approximate market value today of the whole property?

Who are the trustees and who are the potential beneficiaries?

Suggest you use the internet to do some research.

http://www.scottishwidows.co.uk/Extrane ... /Doc/51290

[Cloisters]

Maths,

Many thanks - I will read the doc suggested but in answer to your questions in the meantime:

Does the trust only comprise the interest in the house in which the surviving spouse lives?
<< yes >>

What is the approximate market value today of the whole property?
<<£600k of which the trust owns 81% >>

Who are the trustees and who are the potential beneficiaries?
<< the four children of the settlor all in age range 50 - 60 now are the beneficiaries of which two are the trustees along with the surviving spouse who has power of appointment>>

Suggest you use the internet to do some research.

[maths]

Who has been dealing with the tax issues of the trust so far?

You say:

The trust was written in 1997

What do you mean by this?

Presumably surviving spouse owns the balancing 19%?

[Cloisters]

Hi, the trust was signed and established as I understand it in 1997 but assets only settled into it via a nrb will codicil that placed the 81% of the house in to the trust.
Yes the remaining 19% is owned by the surviving spouse who had a mirror will but that is now being changed to simply leave the 19% to the children directly to benefit from the new rnrb.
I am not aware of any need to date to have done any admin on the account other than the registration of the trust with the ir and the change to land registry on first death.
Thanks for responding.

[maths]

The property became comprised in the trust at the date of death, 2003.

There was potentially an IHT charge at the 10 year anniversary,ie 2013, depending upon the value of the 81% interest in 2013.

[Cloisters]

Thanks, sounds like you are the person who should write that book!