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Managing a Life Interest Trust

(5 Posts)
OhTheAngst Mon 11-Jul-16 23:44:46

Following a bereavement, I will eventually become a co-trustee of a Life Interest Trust. Is there a semi-specialist book of some kind which will help me in this task? I've tried googling, but only come up with technical law/tax books.

Collaborate Tue 12-Jul-16 06:56:19

You would be better off making sure one of the other trustees is legally qualified, or appointing a lawyer to advise the trust. The trust should stand the cost of that. If you have to research the law that would suggest it's not a straightforward situation so unless you have a personal stake in the trust you should consider declining the appointment.

OhTheAngst Tue 12-Jul-16 10:22:28

Collaborate thanks - it's straightforward as far as I can tell. We'll have to choose which equities from the estate will go into it, manage it, pay the income tax, and the net income to the beneficiary. I'd just like some sort of written information on trusts and how to manage them, which hopefully would confirm (or refute) my thinking that it's straightforward, and help us decide if and how we can do it ourselves. There seems to be loads on setting up a trust in your will, but nothing for those who become trustees when the will comes into force. There is a solicitor who is co-executor with me and the other trustee, but so far we've been focusing on preparing the IHT account. I am trying to get prepared for what happens when the estate is distributed.

Collaborate Tue 12-Jul-16 15:20:58

If you have to make a decision on equities then you absolutely must get paid for professional IFA advice. How much in value are we talking about here?

OhTheAngst Tue 12-Jul-16 16:13:35

Yes, we will be taking advice. I am thinking of the future, the portfolio is such that it may not need much managing, but there will be tax (income and possibly CGT) to pay from year to year, and the net income to pass on. Perhaps I don't need semi-technical, but even an idiot's guide would be a help! (I am ex CAB, also have wondered about this situation for years, but now it's come to pass...)

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