Trust tax return with pre 2016 estate dividends

I am completing a trust tax return for 2017, for a Will trust, the trust having received income from the deceased estate during the year.

Some of that income comprises dividends paid to the estate in 2015/16. I believe that these are treated as passing to the trust with a 7.5% non repayable tax credit (so a net dividend of £9,250 equates to a gross dividend of £10,000 with £750 tax credit). Is that correct? How should I report this income in the tax return? I am assuming we won’t be able to submit an online return, and will have to include details in the notes to the paper return, but wondered whether there is some other solution of which I am not aware?

Diana Smart
Gordons LLP

I’m not completely sure that the issue of pre 6.4.16 dividends paid thereafter has been resolved; I don’t believe it was dealt with in FA 2016.

However an announcement by the ICAEW provides what seems to be HMRC’s view. see:

Malcolm Finney