Holiday home in a Trust – yes or no

Home Page Forum Protecting your Assets Holiday home in a Trust – yes or no

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This topic contains 1 reply, has 2 voices, and was last updated by  Maya Fisher-French 2 years, 3 months ago.

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  • #7054

    Paula
    Participant

    We are looking at purchasing a holiday home, and have been advised to put it into a Trust to save on Estate Duty and for Capital Preservation.
    Please can you advise on the pros and cons?

    Thanks

  • #7055

    The Receiver has closed a lot of loopholes around Trusts especially if the only function is to avoid taxation. Trust administration is also expensive – you would need to have an independent trustee who usually requires a fee. If you sell the property the CGT could be higher than in your own capacity. If you change beneficiaries it can also trigger a CGT event. Personally I would just keep it simple

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