HWP Insight – Hamilton Wealth Partners on the Trust Tax
Responding to the exposure draft legislation for the minimum tax on discretionary trusts, Will Hamilton, Managing Director of independent family wealth advisory firm Hamilton Wealth Partners, said:
“I have spent forty years advising families and the risks that matter are the ones you cannot put a date on. Someone gets sued, a marriage ends, a business needs capital in a hurry and money has to go somewhere it was never going to go. This election recognises two of those and ignores the rest.
“The list can only change if a beneficiary dies or the family breaks down. So what happens to a grandchild born in 2031? I have read the draft and I cannot tell you. Plenty of families set these structures up precisely to bring the next generation in over time, and they deserve an answer before they are asked to commit.
“Taking restructuring and stamp duty off the table is a real improvement, so credit where it is due. But two weeks of consultation on a decision you cannot reverse, with the law due before Christmas, is not enough time for anyone to think properly.”
