We are seeking clarification if there is requirement to submit an AEOI report for a Life Interest Trust registered in December 2025 as an RFI as per the new HMRC rules.
In reading the HMRC AEOI guidance it is difficult to ascertain if we need to report. The majority of the assets are held in a managed investment fund run by Hargreaves Lansdown and the income from this fund is paid to the life interest beneficiary who is UK tax resident.
All of the Trustee are UK Tax Residents however one of them also owns rental properties in Switzerland and France (he is UK resident ONLY and NOT resident in Switzerland or France). He declares these foreign properties in his UK tax return but also is required to complete Swiss and French tax returns too for the respective rental income. We would like to double check whether in the situation the trustee would come under a “reportable person” although our accountants have informed us this is not the case.
Thanks, Gill Collins
Warwick Barker LLP
I think you’re fine as it’s based purely on tax residence. Having just had to wade through this, the definition of Reportable Person is contained in D.2 and D.3 of Part VIII of Common Reporting Standards (page 57 of this this document):
2. The term “Reportable Person” means a Reportable Jurisdiction Person other than: (i) a corporation the stock of which is regularly traded on one or more established securities markets; (ii) any corporation that is a Related Entity of a corporation described in clause (i); (iii) a Governmental Entity; (iv) an International Organisation; (v) a Central Bank; or (vi) a Financial Institution.
3. The term “Reportable Jurisdiction Person” means an individual or Entity that is resident in a Reportable Jurisdiction under the tax laws of such jurisdiction, or an estate of a decedent that was a resident of a Reportable Jurisdiction. For this purpose, an Entity such as a partnership, limited liability partnership or similar legal arrangement that has no residence for tax purposes shall be treated as resident in the jurisdiction in which its place of effective management is situated
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Thank you very much for coming back to me on this - chimes with our understanding.