Trust changes 'will affect 100,000 families'
Advisers point to trust changes as major stealth crackdown of the Budget
The chancellor’s trust changes yesterday will hit 100,000 families, advisers
have suggested.
Accumulation and maintenance trusts, set up to allow parents and grandparents
to bequeath assets free of tax whilst preventing the assets from being
squandered by children, have been hit by new tax charges.
Maurice Fitzpatrick of Grant Thornton is quoted in The Times saying
100,000 families could be affected, with extra tax bills of £40,000 on estates
worth £1m.
‘This is the big story of the Budget. Thousands of people in Middle England
routinely use this technique each year. It’s quite commonplace among families
with assets including homes in the £500,000 to £1.5m range,’ he said.