We are advising the trustees of a trust regarding their CRS reporting obligations.
The trust was created by a deed of variation. There were 5 residuary beneficiaries who all agreed to divert some of their inheritance. The deed of variation was retrospective for IHT and CGT.
All parties involved (the original deceased, the residuary beneficiaries, the trustees, the new beneficiaries) are UK resident, apart from one residuary beneficiary who is resident in Australia.
Does this then create an ongoing annual CRS reporting requirement because there is an Australian ‘settlor’? The Australian individual is named as a settlor on the TRS registration, in accordance with HMRC guidance on the TRS, but the UK resident deceased will be the settlor for CGT and IHT purposes and the funds derive from their estate.