For those whose only contact with trusts is through the media, it is easy to paint trusts in a negative light.
Often when we think of them at all, it is in the context of such events as the Panama Papers and the words ‘offshore’ and ‘tax evasion’ often follow close behind!
However this is a narrow view. Trusts are as old as human history and began with an ancient man or woman leaving property such as land, food or family, in the care of someone else while they were absent. While the rules around trusts have become more complex, the idea has remained unchanged.
Trusts therefore have a meaningful place in our lives and are not just for the ‘super rich’. There can be a place for any family with assets to use trusts to preserve and allocate these assets to maximise their benefits for the family and to enable the flexibility to deal with the uncertainties of life. While we hope that our families are not faced with divorce, ill health or changing financial circumstances, it is still wise to build in safeguards to our lives. In the right circumstances, trusts can form a key part of your plan.
This is not legal advice; it is intended to provide information of general interest about current legal issues.
If you would like to talk about any tax or legal aspects of a Trust, please contact Marc Dorsett on 01245 228146 or dorsettm@gepp.co.uk
