Basic terms of trust law as applied to CGT: settlor: from 6 April 2006
TCGA92/S68A, S68B, and S68C as introduced in Finance Act 2006 provide a comprehensive code for the definition of settlor in TCGA.
In one or two areas discussed in subsequent paragraphs the law has been changed slightly, and a person previously regarded as a settlor will not be so regarded, and a person who was not previously regarded as a settlor will be so regarded. The changes take effect from 6 April 2006 for all cases, except Instrument of Variation cases (CG33248) however old the settlement.
Similar provisions apply from 6 April 2006 for the general purposes of Income Tax, but not necessarily for the purposes of the ‘Settlements legislation’ in Chapter 5 Part 5 ITTOIA 2005. For information on the income tax ‘settlements legislation’ please refer to TSEM4000+.
The guidance in this paragraph and the next three is designed to draw attention to points which may arise in the normal course of events. It is not intended as a substitute for the actual wording of the legislation.