Gedye and Sons

SOLICITORS FROM THE CITY TO THE COUNTRY

London

020 3427 5078
infoOB@gedye.co.uk

The Lakes

01539 532313
info@gedye.co.uk

Monday 19th May 2014

FATCA legislation in operation by autumn 2014

Trusts, Trustees, Financial Institutions and Solicitors need to consider the new legislation. In this article Richard Roberts, Mark Jones and Sarah Murphy look at what it means and who it affects.

The significant rise and popularity in the establishment of trusts has been much publicised. Extensive growth of the private client industry through financial institutions, wealth mangers, accountants and solicitors has seen access to this type of estate planning grow. It is now commonplace for wealthy and successful business people, and their families, to plan their legacies by leaving monies or investments in “trust” for spouses, siblings and other individuals.

The current rate of taxes levied on death are not likely to decrease. Clients not only take their responsibilities to their beneficiaries seriously, they are planning the most tax efficient away to protect their hard earned capital.

On September 12, 2012 the UK and USA signed a treaty to implement FATCA in the UK (The UK-US Agreement to Improve International Tax Compliance and to Implement FATCA).

The Foreign Account Tax Compliance Act or FATCA as it will be known is US legislation aimed at reducing tax evasion by their citizens. You may ask how does that affect me here in the UK?

FATCA requires financial institutions outside the US to pass information about their US clients to the US tax authorities, the Internal Revenue Service (IRS).

As a result of this agreement all UK trusts and trustees, whether or not they have any known US connections, need to consider their status under the UK/US agreement. UK financial institutions must meet the requirements of the treaty and UK legislation in order to avoid withholding tax.

A thirty per cent withholding tax (or penalty fine) is imposed on the US source of income of any financial institution that fails to comply.  If they are required to register with the IRS under the agreement, they must do so by 25 October 2014.

Gedye and Sons have been dealing with estate planning for many years. We are currently trustees to many family and business trusts. It was appropriate that as a firm we started the process of reviewing our current trusts, working with the respective trustees and liaising with them accordingly. We can assist you by:

  • Conducting a thorough review of your established trust, its legal position and update those trusts accordingly.
  • Register any trust with HMRC or IRS if required.
  • Develop an implementation plan for the changes required for FATCA compliance.
  • Perform due diligence on your affairs and explain their position and consequences.
  • Evaluating your responsibilities related to FATCA compliance.

For further information about our services, in the first instant please contact Richard Roberts, Mark Jones or Sarah Murphy on 015395 32313. Alternatively if you are an existing client, one of the above or their respective teams will contact you if required.

All news & events

Buying a newly built home

Once you have found that special place that you love; maybe its ideal for work / has that outside space you have been craving/ has room for a home office. Then the real fun begins!

Buying a new home off plan

It is common practice for developers to offer some or even all of the units on a development for sale long before construction work has finished. It can significantly reduce their borrowing costs but how does it affect you as a buyer?

Things to consider when buying a contract reassignment

I wrote an article a couple of years ago about off plan re- assignments and the interest generated since has prompted me to update that article and add some of the points that have come to light on transactions since.

The Law Society propose ‘single test’ to diminish stamp duty fears

Clear instructions to your solicitor/conveyancer on any property purchase is crucial and even more so now following the Stamp Duty Land Tax (SLDT) changes which come into force from 1 April 2016.

Mum, Dad, will you help me with my deposit please?

Buying your first property can be an exciting time, but it is also a huge investment. Most buyers will have saved hard for years on end just to fund their deposit

Buying an off plan re-sale apartment

Mark Jones, Director and Head of our Conveyancing department considers the risk to the unwary buyer.

Success for Solicitor who achieves Associate Membership of ACTAPS

We are very pleased to announce that Justin Roberts, Litigation Solicitor at Gedye & Sons has been accepted as an Associate Member of The Association of Contentious Trust and Probate Specialists (ACTAPS).

Gedye & Sons support “Will to Remember” Scheme

Alzheimer’s Society newest scheme ‘Will to Remember’ launched on Tuesday 27th May 2014 in the North West (Cumbria, Lancashire, Greater Manchester, Merseyside and Cheshire) in partnership with Solicitors for the Elderly.

Purchasing off plan re-sales presents challenges

Mark Jones as Head of our conveyancing department considers the potential risks of this increasingly popular phenomena.

FATCA legislation in operation by autumn 2014

Trusts, Trustees, Financial Institutions and Solicitors need to consider the new legislation. In this article Richard Roberts, Mark Jones and Sarah Murphy look at what it means and who it affects.

Blackwell House “Art Fund” evening

Gedye and Sons in association with Art Fund Cumbria are delighted to announce a reception and drinks evening at Blackwell House on Thursday 5th June 2014 from 5.30pm.

Gedye & Sons awarded with WIQS Accreditation.

Grange over Sands and Old Bailey based Gedye & Sons becomes one of the first twenty firms nationwide to obtain the Law Society’s new Wills and Inheritance Quality Scheme accreditation.

Historic Grange poster acquired by firm

Art lover and Gedye & Sons director Richard Roberts acquires historic LMS poster of Grange over Sands from Christie’s auction held in London.

Gedye & Sons Awarded WIQS Accreditation

The much published scheme which demonstrates an excellence in their field has seen the Law Society accredit the first group of law firms to its new Wills and Inheritance Quality Scheme (WIQS)

Richard Robert’s radio interview

Thursday 17th January 2012 saw Richard Roberts present a lecture at Clarke Willmott LLP in Bristol. This was as part of an evening sponsored by them for the Halycon network. Halycon is a professional network for the LGBT community.