Trust and rental income

Emthi

Hi all

I take on a new client who has got 20 properties in the UK, from which he receives rental income. In our first meeting he was talking about transferring some of the properties to his relatives through a Trust.

Actually I do not have any idea about starting a trust and do as I said above. Could any anyone tell me something more about this kind of activity? Is that legal and viable? If so how can I overcome this issue?
Thanks

burg

Hi.

My knowledge of trusts is also somewhat limited.

I would firstly establish what the motive is (i.e. what do they actually want to achieve) and what they don't want to happen (i.e. do they want to retain some control?).

As far as I understand trusts can be quite complex and if done incorrectly could not have the desired advantages.

I would do a bit more maybe and seek professional advice (or even direct them to somebody) as it may be beyond your knowledge.

T.C.

Trusts are more a legal issue and I would suggest that he talks to a solicitor. However, I don't think it is quite that simple or everyone would be doing it!!!

Gem7321

I'd say trusts are more of a IHT planning issue so he might be best speaking to an IFA

Monsoon

Definitely refer this to a specialist, trusts are complex and need someone who really knows their stuff.

Emthi

Thanks

Its still quite complex, even though it s good for us to know.
Thanks