TSEM3019 - Trust income and gains: the charge on trustees - charge on accumulation or discretionary trusts

A trust is within ITA/S479 if:

• the trustees have the power to accumulate income or make discretionary payments, and the exemption for settlor -interested settlements to the special trust rates no longer applies.

Tax paid at the special trust rates is taken into account in the trustees’ tax pool -TSEM3021 explains how.

Certain discretionary trusts are exempt from the charge at the special trust rates (TSEM3011). TSEM3025 has details.