TSEM6077 - Legal background to trusts and estates: reasons for estate assets going into a trust
»Ê¹ÚÌåÓýappre are various likely reasons for a trust following an administration period.
- »Ê¹ÚÌåÓýapp will provided for the assets to be held in trust.
- »Ê¹ÚÌåÓýapp laws of intestacy that apply in England & Wales provide for the assets to be held in a statutory trust for the spouse and issue of the deceased. »Ê¹ÚÌåÓýappre are further details at TSEM6120.
- »Ê¹ÚÌåÓýappre is a legacy to a minor beneficiary. As a minor is unable to give a valid receipt, the legacy results in a trust for the minor. »Ê¹ÚÌåÓýapp personal representatives pass the legacy to trustees. »Ê¹ÚÌåÓýappy are able to give the valid receipt. »Ê¹ÚÌåÓýappre are further details at TSEM6321.
- Personal representatives retain the legal ownership of a particular item of property. This is most frequently land, which is to pass to two or more persons. Alternatively legal formalities could delay handing over an asset such as shares in a private company. In such cases they must deal with it as the beneficiaries direct. »Ê¹ÚÌåÓýappy hold it as trustees from
- when they assent the property to themselves, in the capacity of trustees, or
- for tax purposes when the residue is ascertained, if earlier.