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Where Taxpayers and Advisers Meet

discretionary payments and tax

jaisamson
Posts:1
Joined:Tue Mar 01, 2022 9:14 pm
discretionary payments and tax

Postby jaisamson » Tue Mar 01, 2022 9:44 pm

Hi All,
Its nice to be here.
I have a query about discretionary payments i receive from a trust.

I have recently noticed that the trustees are using my tax allowance each year and also the trustees are putting down the tax payments of a discretioinary trust of 40%.
this is totalled up to me as having been given it.
i earn £7000 a year as paye and the trust is adding £25,000.given this the rebates are in excess of £7k .
so i do not get this rebate as the trustees have said it is theirs,also the tax is 20% instead of 40%.
i was lead to believe the trustees paid this tax.
lastly, i have just found out that i had a life assurance trust where i was a beneficiary,this was found in 2013 and now it seems the trustees have caused a huge tax problem.
but before all this came to light,the trustees bought myself a house in 2014,and my address on my 2010 to 2022 is stated as being at the address i live now.
the house was owned by the life tenent/executor of the discretionary trust and i believe it was in the will estate.
since 2014 i have received no payments from the trust but it is shown that i have on the tax returns...does this sound right..
thanking you in advance

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