TSEM10115 - Non-resident trusts: new non-resident trust: obtaining information
When BT & C Trusts become aware of a non-resident trust, they need to ensure that they request sufficient information so that tax returns are not issued where the trustees have no income or gains chargeable to tax (TSEM10200+).
If the trust has been non-resident throughout a tax year, then if the trustees’ only income is ‘foreign’ income, they will not be chargeable to UK Income Tax for that year (TSEM10205).
If the trust has been non-resident throughout a tax year, then the trustees are not chargeable to Capital Gains Tax on trust gains for that year (TSEM10265).
BT & C Trusts ask trustees to confirm in writing where the trustees believe that no liability to tax arises.