An estate planning vehicle established for the benefit of a young person, becoming absolutely entitled to the trust property on or before their 25th birthday, with specific inheritance tax implications.
An accumulation and maintenance trust is a type of discretionary trust designed to allow for the accumulation of income until certain beneficiaries reach a specified age, at which point the income is applied for their maintenance, education, or benefit.
A chargeable transfer is a lifetime gift not covered by any of the exemptions, making it liable to inheritance tax. This can include potentially exempt transfers or payments into a discretionary trust.
A Discretionary Trust is a type of trust where the shares of each beneficiary are not fixed by the settlor but can be varied at the discretion of the trustees or another appointed person.
A discretionary trust is a type of trust agreement that grants the trustee the authority to administer the trust's assets and income based on their own judgment, as long as they act with prudence and common sense.
An exit charge is the tax imposed under inheritance tax regulations when an asset is removed from a discretionary trust.
A periodic inheritance tax charge on most forms of discretionary trusts, structured to balance the lack of generational transfer taxes.
An arrangement enabling property to be held by one or more trustees for the benefit of beneficiaries, commonly used to provide for families and in commercial situations.
