Govt targets discretionary trusts in IHT clamp-down
The Government is proposing to extend tax anti-avoidance measures in a crack-down on the use of discretionary trusts to dodge inheritance tax (IHT).
www.professionaladviser.comHere are the latest notable points on discretionary trusts, based on available up-to-date reporting:
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UK/inheritance tax context: The government has previously signaled tighter anti-avoidance measures around discretionary trusts, with discussions around extending anti-avoidance regimes to IHT transfers into trusts. This line of travel remains a live regulatory theme, as authorities continue to press for greater transparency and reduced ability to use discretionary trusts for IHT planning. This reflects ongoing policy caution rather than a single, new law enacted this week.[1]
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Global/regulatory trends: Discretionary trusts continue to attract scrutiny in several jurisdictions, often tied to family wealth planning, taxation, and disclosure requirements. Recent coverage emphasizes how courts and regulators in different countries evaluate trusts as part of asset protection, succession planning, and potential tax consequences, rather than broad, uniform reforms.[3][4]
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Market/industry perspectives: News in this area frequently highlights evolving guidance for practitioners on how discretionary trusts interact with taxation regimes, disclosure obligations, and family-law considerations. In some regions, cases and regulatory updates have shifted professional opinions on the protections and limitations trusts offer for beneficiaries and settlors.[2][4]
If you’d like, I can drill down into a specific jurisdiction (e.g., UK, Australia, India) and pull the very latest regulatory developments, or summarize recent case law affecting discretionary trusts. Also, I can set up a brief alert list for ongoing news in this area. Please tell me which region or angle you care about.