The termination of trusts can happen for a number of reasons, but may last for a maximum period of 125 years by law. Most Trusts will be wound up before this period and we can assist the trustees at this point. This may be because a beneficiary has reached the age that they have become entitled to the trust fund, or a life interest beneficiary has passed away or because the trustees have considered the circumstances and feel that it is appropriate to distribute the assets to the discretionary beneficiaries.
We can help the trustees ensure that all the necessary steps are complete such as:
- Drafting appropriate documents to confirm the trustee’s decisions including Resolutions and Deeds of Appointment of Funds;
- Drafting Trust Accounts to show the final distribution of assets;
- Conducting bankruptcy searches for beneficiaries to ensure that the trustees are able to distribute the assets;
- Liaising with the beneficiaries for their identification and payment details;
- Completing the final tax returns for the trustees;
- Instructing necessary third parties to complete the transfer of assets to the beneficiaries;
- Arrange for appropriate indemnities to be provided for the trustees to ensure they are protected against any future claims or liabilities.
If you would like to find out more about the termination of trusts, please speak to a member of our team.