TRS and 5AMLD update following Queen’s Speech

 In Gill's Blog, Trusts

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Briefing Note – Trust Registration Service (TRS) and 5AMLD

Gill Steel - Solicitor, Trainer in Wills Probate Trust TaxFollowing the Queen’s Speech certain parts of the 5AMLD have been introduced by Statutory Instrument The provisions in 5MLD will be legislated in ‘The Money Laundering and Terrorist Financing (Amendment) Regulations 2019’. These regulations will make amendments to ‘The Money Laundering, Terrorist Financing, Transfer of Funds (Information on the Payer) Regulations 2017’. The amended regulations came into force on 10 January 2020 for all elements, but do not include the trust registration service (TRS).

http://www.legislation.gov.uk/uksi/2019/1511/contents/made

Instead, HMRC have announced that to allow time for the proper debate on the responses to the HM Treasury Consultation from 15 April 2019 entitled ‘Transposition of the Fifth Money Laundering Directive’ (the consultation) the TRS will not be updated until later in 2020. Over 200 responses were received to the consultation and the government’s response to these views will be published in early 2020.

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This means that the proposed deadlines for registering all trusts not already registered and all new trusts have been cancelled until further notice.

The HMT consultation confirmed that HMRC would run a more detailed technical consultation on the details of implementation.  Further details on this technical consultation and how you can contribute will be shared in early 2020. TRS must contain a robust and proportionate framework, and this consultation will include additional information on the proposals for the type of express trusts that will be required to register, data collection and sharing, and penalties.

As part of this technical consultation draft legislation for the trust registration elements of 5MLD will be shared. This will be transposed into domestic law during 2020. HMRC have said that they will keep those trusts affected and their representatives up to date on when the requirement to provide information on TRS under 5MLD will commence. HMRC have said they understand that sufficient notice will be required in order to ensure business readiness.


This article also appears on Gill Steel’s LinkedIn pages together with useful comments from her connections and followers.  Keep up to date with Gill’s private client updates by connecting with her – linkedin.com/in/gillsteel

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Gill Steel - Solicitor, Trainer in Wills Probate Trust Tax