Budget 2023 - Trusts and Estates

News from the Budget 2023 FYI

A consultation on low income trusts and estates was undertaken last year and the results have now been enacted.

  • Trusts and Estates with income of up to £500 will no longer need to pay tax;
  • Estate beneficiaries receiving income of up to £500 will no longer need to pay tax;
  • Discretionary Trusts will lose the starting rate band of £1,000 and so all income and gains will be taxable at the higher rates.

Read more here Income Tax: Low income trusts and estates – summary of responses - GOV.UK (www.gov.uk)

Lucy Orrow CTA TEP
Lambert Chapman LLP