When the Finance Act 2006 came into force, it introduced a ten-year charge on discretionary trusts containing 'relevant property'. Most discretionary trusts that were started after 21 March 2006, other than those covered by specific exemptions, will carry a ten-year charge.
If the relevant return (IHT 100) is not submitted to HM Revenue and Customs in time, penalties and interest are payable.
The latest figures show that 75 per cent of all trusts had not filed the relevant return by the end of October 2017, which was the deadline for avoiding the imposition of penalties.
