As part of a wider system of reforming taxation HM Revenue &
Customs (HMRC) is gradually implementing changes to move tax
reporting online. The digitisation of HMRC reporting, combined with
more stringent anti money laundering rules and demands for
transparency around individuals associated with assets held in
trust gave rise to the online Trust Registration Service (TRS) in
2017. On inception, the TRS required any trusts giving rise to a
tax liability in any tax year to be registered.
The changes from October 2020 – New requirements
The Fifth Anti-Money Laundering Directive came into force on 6
October 2020. It is an increased effort by HMRC to obtain details
to mitigate criminal financing. The effect of the new Directive on
the TRS is that the scope of registration is now wider meaning that
all trusts (with a few exceptions) must now be registered with the
online service.
