Following a consultation this summer, draft legislation for inclusion in Finance Bill 2014 on the treatment of accumulated income and the alignment of payment and filing dates for trusts was published on 10 December 2013 for technical consultation. The Government has indicated it would welcome comments. If necessary they will review and amend that legislation once the consultation closes on 4 February 2014 in time for the start of the next tax year.
The Government will consult further in respect of consideration of the proposed ‘splitting’ of the nil-rate band which has proved very controversial. It’s proposed that legislation on splitting the nil-rate band and simplification of calculations will be pushed back to be included in Finance Bill 2015, i.e. kicked into the long grass in the lead up to the next General Election.
- ‘Squaring the Triangle’: Simplifying IHT charges on relevant property trusts (trustsestatesbarrister.com)
- Consultation outcome: Inheritance tax: simplifying charges on trusts (gov.uk)