In 2017 HMRC introduced the online Trust Register in order to capture information from trustees about their the trusts which they managed. A system of penalties was introduced for trustees who failed to register their trusts by the relevant deadline.

HMRC have recently upgraded the online Trust Register so that it can be used to advise them of any changes to trustee or beneficiary details; previously this could only be done in writing.

Going forward trustees are now required to complete the following additional compliance checks on an annual basis or risk more penalties:

1. Use the online service to make any changes to the trust details such as changes of trustee

2. Complete an online Annual Declaration to confirm that all the details of the persons associated with the trust are accurate and up to date. Trustees must complete this even if there have been no changes

3. Where a trust files annual tax returns then the box on page 11 of the trust tax return must be ticked to confirm that any relevant changes have been notified

Trustees now have a greater compliance burden than ever before and so it is essential that they familiarise themselves with the new regulations if they are to avoid unnecessary penalties.