Author: Bob Sheasby (2000)

Bob Sheasby – HSBC Trust Company (UK) Limited
(taken from Isssue No 11 –  April 2000)

Late one night I sat down to read the notes produced by the Inland Revenue (as one does!) on how to fill in the Trust and Estate tax Return.

When turning to question 13, which deals with the tax treatment of discretionary payments of income made to beneficiaries, I noticed that the Revenue consider that ` …. payments out of capital or accumulated income are not to be regarded as the income of a beneficiary irrespective of the purposes for which they are made ….`