TRSM23020:“If an estate administration is completed within 2 years, but there is an ongoing express trust, this ongoing trust would need to register on TRS after two years from the date of death”.
And see the example of Sophie:“Here, the trust technically comes into existence when the administration period has ended and Sophie switches role from executor to trustee.It may be difficult to ascertain when this occurs. If the assets have not been transferred to Gisele within 2 years of death than the trust needs to be registered at that point if the administration period has ended or at the date when the administration period ends if later.”
As HMRC say it can often be difficult to tell when the administration period ends and this has been covered here on the thread “Trs after 2 years of death”. In your case it seems very likely that the administration period has ended but if the only asset is land not until the executors have assented formally to the trustees (even if they are the same persons).
The two year limit is for trusts where the administration period has already ended. Until that period ends a trust is not registrable but will become immediately registrable if that period ends after the 2 years. During the administration period a trust in the Will is not operative but care is needed because the period can end as regards some assets in the estate but not others. It ends as regards a given asset when that asset can be regarded as no longer needed to pay debts, costs or legacies. This is not always easy to pinpoint as regards assets other than land which do not require an assent. With a trust of residue the administration period will end only when it is finally ascertained i.e. the remaining assets are not required for those other purposes.
Jack Harper