Trusts

A Trust is a formal transfer of assets (such as property, shares or cash) to a small group of people or to a trust company with instructions that they hold the assets for the benefits of others.

There are a number of reasons for setting up trusts including reducing inheritance tax, determining how our children and grand children will have access to your assets or even setting up a charitable trust.

There are two main types of trust:

Interest in Possession Trust - where the income or benefit must be given to a specific beneficiary

Discretionary Trust - there are different variations of this type of trust but usually the benefits are allocated at the trustees discretion to any one or more beneficiaries.

This can be a very complicated topic, but it is important that you take specialist advice to set up a trust that best suits your needs.  Download a free information sheet that explains more about Nil Rate Band Discretionary Trusts.