TRSM80030 - Penalties: contents: Failure to keep the information held on TRS up to date

Trustees and agents of trusts registered on TRS are required to keep the details of those trusts as recorded on the TRS up to date (see TRSM40010). There will be no automatic penalty for failing to keep TRS up to date however failure to take action when contacted by HMRC and/or concealing trust data may result in a penalty being issued to the trustees.

In practice this means that should HMRC become aware of a registrable trust for which the information on the TRS is or has been out of date, HMRC may issue a warning letter to the trustee or agent. If the update has not yet been made, the trustee or agent should make the relevant update at that point. It is only if the trustee or agent fails to update the information within the time period stated within the warning letter that a penalty may then be issued to the lead trustee.

Failure to act and keep trust data up to date may result in a £5,000 penalty.

The information which must be kept up to date is set out separately for the different categories of trust – see TRSM32010.