Trusts and estates
Wortham Jaques provides a range of services to trustees, personal representatives and executors. We also prepare trust accounts and tax returns on behalf of a leading City of London law firm, and on behalf of a number of local solicitors. Our professional services in relation to trusts and estates include:
- Accounting Services
- Tax investigation fee protection
- Inheritance tax (IHT) planning and compliance
- Services for business
Most trusts have to prepare annual accounts. They are necessary to determine the income available for distribution to beneficiaries and as the basis for the Trust's self assessment tax returns. As an accountancy practice, Wortham Jaques has the professional knowledge, experience and resources to produce accurate trust accounts promptly and cost effectively, which is why law firms find it advantageous to delegate this work to us rather than do it 'in house'.
We can also advise on, and assist with, setting up an appropriate bookkeeping system to maintain the trust's primary financial records.
As well as preparing trust accounts, Wortham Jaques can prepare accounts for the administration period of a deceased's estate to demonstrate that all assets have been properly accounted for and the estate distributed in accordance with the deceased's will. This service is always provided in cases where we have dealt with the administration of the estate. We can also provide this service to executors who have dealt with the administration personally but want the assurance of knowing that all the financial aspects have been dealt with correctly.
Self assessment and tax reporting
The self assessment tax regime applies to trusts just as it does to individuals. At Wortham Jaques we have the expertise and technology to deal with self assessment tax returns quickly, efficiently and correctly. In the process we are often able to spot tax saving opportunities too. Where appropriate we will also prepare the annual Statement of Trust Income (form R185) for each beneficiary. And we can do all that very cost effectively. We will be happy to provide a quotation on request.
On completion of the administration of an estate a report and payment of tax to HMRC is often required. In some cases this can be dealt with informally, in others a formal self assessment tax return must be prepared and submitted. Statements of Trust Income for the beneficiaries will also be requied in most cases. Wortham Jaques has the resources and expertise to deal with these matters on behalf of the executors efficiently and cost effectively.
Tax investigation fee protection
Trust and Estate tax returns can be subject to an HMRC tax investigation or compliance check in the same way as individual tax returns can be. All our self assessment clients, including trusts and estates, are eligible to join our fee protection scheme which covers the cost of accountancy and other professional fees in the event of an investigation.
Careful tax planning is essential to maximise the benefit of a trust to its beneficiaries. Whether the trustees need tax advice regarding a one off transaction, regular end of year tax planning, or longer term strategic tax planning, Wortham Jaques can assist with effective strategies to minimise the trust's tax liabilities and maximise the income and capital available for distribution to beneficiaries.
Inheritance tax (IHT) planning and compliance
During the lifetime of a trust there are a number of transactions, occasions and events which can trigger an IHT charge. Wortham Jaques can help trustees plan transactions to avoid such charges when possible. When they cannot be avoided we can calculate the charge, and prepare and submit the appropriate IHT return to HMRC.
We are also able to prepare IHT returns on behalf of executors or personal representatives and will gladly provide a quotation for this service on request.
When a business or interest in a business forms part of a deceased estate it is vital to have an accurate valuation, both for tax purposes and to ensure a fair distribution of the estate in accordance with the terms of the will. Wortham Jaques has the experience and expertise to provide such valuations promptly and cost effectively.
Services for business
The administration of a trust or estate sometimes requires the trustees or personal representatives to run a business or property investment portfolio. In the case of trustees this is likely to be a long term involvement, for personal representatives short or medium term. In either case Wortham Jaques can provide a comprehensive range of business tax and accounting services. For more details please refer to the sections of our website detailing our services to unincorporated businesses or companies.
Wortham Jaques is not authorised to draw up any of the papers on which an application for a grant of probate or letters of administration is to be made or opposed. We are, however, able to deal with the administration of an estate once probate or letters of administration have been granted. In many cases our expertise in the fields of accounting and taxation allows us to offer an efficient, expeditious and comprehensive service in this respect. We will be happy to discuss your requirements on request.
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