AM Trust to IIP


(lhibell) #1

I have been passed an AM Trust dated 1995 with an accumulation period of 21 years. This became an IIP for the primary beneficiaries in 2017. Can i confirm my understanding of this please?

The accumulation period for income expired 2016 and any income not distributed is now treated as capital of the trust for the purpose of the new IIP settlement but also for any 10 yearly charges, exit charges the day the new IIP came into effect.

Any income from the date of the youngest becoming 25 is then paid out in equal shares to the three children and is taxed under their own SA,

Lee Hibell
Paul Robinson Solicitors LLP