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HMRC's latest Trusts and Estates newsletter contains some useful information. Here is our enhanced version.

Agent Toolkits

Trust Registration Service

Micro Service Development

The first feature for the Trust Registration Service (TRS)  that allows users to register a Will Trust is now live. It contains details of:

Further features will be delivered between now and the end of the year.

If you are interested in taking part in User Research for the TRS or if you have any questions, contact: This email address is being protected from spambots. You need JavaScript enabled to view it..

Protecting your data – authorising an agency to act on behalf of a trust for the Register

Later in 2019 HMRC will be releasing more functionality to the TRS to allow amendments to be made.

The process for each relevant party to follow to enable authorisation will be:

  1. Agent
  1. HMRC Agent Services
  1. Agent
  1. Lead Trustee
  1. HMRC

See UK Trusts

Fifth Anti-Money Laundering Directive (5AMLD) Update

The government is developing its approach to the implementation of 5AMLD in  2020 and held a consultation, setting out the requirements and key issues. HM Treasury and HMRC are now reviewing the responses.

Trusts and Estates Allowance

Making tax easier for trusts and estates with small amounts of savings income

In 2016 HMRC introduced an interim arrangement so trustees or personal representatives do not have to submit returns, or make payments under informal arrangements, where the only source of income is savings interest and the tax liability is below £100.

These arrangements have been extended to include the 2019/20 to 2020/21 tax years. See UK Trusts

Publication of Lifetime Gifting Research

In May 2019, HMRC published a research report entitled ‘Lifetime Gifting: Reliefs, Exemptions, and Behaviours’.  The research explored the incidence of gifting in the general population, how it varied between different groups, the nature of gifting, the number and value of gifts given, whom they were given to, the motivations for doing so and awareness of Inheritance Tax rules and exemptions.

Office of Tax Simplification Review into Inheritance Tax – Part 2

In 2018, the Chancellor commissioned the Office of Tax Simplification (OTS) to conduct a review into Inheritance. Two reports were produced; the first was published in November 2018 and focused on administrative issues, the second report was published in July 2019 and focused on broader policy and technical issues. The Government is now considering the recommendations carefully.

Inheritance Tax – IHT421 Agent Update

HMRC has recently updated the Inheritance Tax (IHT) process surrounding the Probate Summary form IHT421.

Administration Period of Deceased’s estate: Income Tax and Capital Gains Tax

Informal Payment Arrangements

The Trusts & Estates newsletter of August 2018  provided guidance for using informal arrangements for non-complex estates and confirmed what action HMRC takes on receipt of a calculation of the tax due from the Personal Representatives.

Complex Estates: Online registration

An estate is considered complex if one or more of the following conditions are met:

Where the estate is considered complex:

There have been issues on estates being registered due to the online completion fields being over populated or incorrectly completed. This has resulted in notifications of UTR or self-assessment returns for the estate being addressed to the Deceased or posted to a building of an agent rather than direclyt to the Personal Representatives.

To rectify the problems and ensure all correspondence is issued correctly from HMRC systems after online registration:

Agent Authorisation

HMRC require the Personal Representative to provide authority to communicate with an accountant, tax agent or adviser acting on the personal representative’s behalf using form 64-8.The agent simply registering online for a UTR for the estate on behalf of the Personal Representatives without putting a 64-8 in place is not enough for HMRC to discuss or communicate the estate tax affairs with the agent.

Draft Legislation Released On L-Day

Draft legislation published on 11 July 2019 included the following measures:

External link:

Trusts and Estates newsletter: August 2019