As announced in the Autumn Budget 2017, the government will legislate in the ‘Finance Bill 2017-18’ to introduce new anti-avoidance rules relating to the taxation of income and gains accruing to offshore trusts. This measure ensures that payments from an offshore trust intended for a UK resident individual do not escape tax when they are made via an overseas beneficiary or a remittance basis user.
Following consultation, minor changes have been made to the legislation, including to ensure that the onward gift rules can apply if the close family members rule applies, to clarify the position in the year of the settlor’s death and in relation to onward gifts to multiple recipients. The change will have effect on and after 6 April 2018.
Our experts at Beavis Morgan can ensure your tax affairs are as efficient as possible to fit your circumstances. In addition, we can look ahead to retirement and inheritance tax planning.