We help trustees manage the paperwork that keeps a family arrangement clear and compliant. This short guide explains what to save, why it matters and how good organisation protects beneficiaries.
HMRC guidance lists core items to keep: bank statements, interest confirmations, National Savings papers, insurance certificates, dividend vouchers, broker reports, expenses and tax proofs. We set out these items in plain English so you can meet today’s compliance standards without fuss.
Keeping clear documentation is part of a trustee’s duty under law. Good records make tax reporting and trustee accounts straightforward and cut the risk of family disputes.
We introduce the Trust Registration Service, show practical filing tips and give a simple example of reconciling interest and dividends. For help on registration see our advice on registering with the TRS.
Key Takeaways
- Save bank, tax and investment papers to support yearly accounts.
- Organised documentation reduces disputes and eases tax filings.
- Registration with the TRS makes accurate information more important.
- Trustees have a legal duty to keep clear details of payments and beneficiaries.
- Practical systems save time at the filing deadline and protect the estate.
What HMRC, TRS and UK law expect from trustees now
A straightforward system for who is involved and what is held stops delays with providers.
Good information matters for tax and for clear trustee accounts. Accurate facts make year-end filings smoother. They also reduce family disputes by showing what happened and why.
The Trust Registration Service has changed the old “file it away” habit. Registration often means providers and companies will ask for names, roles and valuations before they deal with a trust. Missing details can delay investments or banking.
Legal duties under the Money Laundering Regulations 2017
Regulation 44(1) requires written, accurate and up-to-date notes of beneficial owners. This covers settlors, trustees, beneficiaries and anyone with control, plus paid advisers. “Accurate and up to date” means updating information after major life events.
- Why this matters: helps with tax compliance and shows who has influence.
- What is typically requested: names, dates of birth, addresses and adviser details.
- When to update: marriage, death, a move abroad, or changes in entitlement.
| Requirement | Source | Practical effect |
|---|---|---|
| Beneficial owner details | Regulation 44(1) | Must keep written, accurate and current records |
| Registration data for TRS | Trust Registration Service | Needed for providers; missing data delays new accounts |
| Tax filings and trustee accounts | HMRC expectations | Clear facts support correct tax returns and accounts |
For practical steps on registration and what to have ready, see our guide on registering as a trustee. We keep the process simple and jargon-free.
trust record keeping documents hmrc: the core records every trustee should keep
A concise ‘core pack’ of files makes annual filings and beneficiary queries far easier.
We suggest a simple folder that holds the essentials. Keep both paper and digital copies where practical.
Bank statements, interest confirmations and National Savings papers
Keep current and deposit bank statements and any confirmations showing interest paid.
Include NS&I or National savings certificates and receipts. These prove income and help reconcile accounts.
Insurance and investment paperwork
Save chargeable event certificates from insurers and dividend vouchers for shares, OEICs and unit trusts.
Retain stockbroker reports that show buys, sells and any income paid to the funds held.
Expenses, payments and taxes paid
Record professional fees, bank charges and property costs. Note dates, amounts and who authorised each payment.
Keep evidence of all taxes paid so you can show how sums were settled.
Income paid to beneficiaries and forms R185
For discretionary arrangements, log who received income, when and how much. This helps complete trustee accounts and tax returns.
Use form R185 (Trust Income) for beneficiaries who need details for self assessment or repayment claims. Keep a copy of every R185 issued.
When to use form R185 (Settlor)
Use the R185 (Settlor) where the settlor — or their spouse/civil partner — retained an interest.
File a copy so future queries are simple to answer.
Governance and trustee decisions
Keep minutes of meetings, deeds of appointment and any written decisions that affect capital or income.
Clear governance files reduce disputes and show why decisions were made.
| Item | Why keep it | Example |
|---|---|---|
| Bank statements & interest confirmations | Prove income and balance with accounts | Current account statements; NS&I interest slips |
| Chargeable event & dividend vouchers | Support tax calculations on gains and income | Insurer certificate; company dividend voucher |
| Expense records & tax payments | Show allowable costs and evidence payments | Invoice from solicitor; tax payment receipt |
| R185 forms | Help beneficiaries claim relief or complete returns | R185 (Trust Income) and R185 (Settlor) copies |
| Minutes & deeds | Document decisions affecting capital or income | Meeting minutes; deed of appointment |
Records you must keep when the trust buys, sells or receives assets
When assets move in or out, a clear paper trail makes future tax and accounts simple.
Why asset events need their own file: they often drive capital calculations, income reporting and questions from advisers. Good files cut accountant time and reduce the risk of errors.
Property transactions
Keep completion statements, solicitor invoices and estate agent fees. Include clear evidence of Stamp Duty Land Tax paid.
These items show purchase costs, sale proceeds and allowable expenses when calculating gain or loss.
Shares and funds
Save contract notes, broker statements and proof of any capital movements in or out of funds.
These papers explain dates, prices and fees when shares are sold or bought.
Additional assets paid into the trust
Note the market value at the transfer date, the date received and who provided the asset.
Who provided it matters where family members or companies contribute money or investments.
Let property records
Keep mortgage interest statements, annual bills (for example water or business rates) and tenancy or licence agreements.
These show rent received, costs paid and help when completing accounts and taxes.
- Practical tip: keep receipts for sale and purchase expenses so net proceeds are clear.
- Real-life frame: selling a family home or buying a buy-to-let is far easier to explain with this pack.
- For support: see our guidance on registering a trust and official advice on record keeping for tax.
Keeping TRS and beneficial owner information accurate and up to date
Accurate personal and corporate identifiers are the practical backbone of registration and compliance. We set out what to hold and when to update it so lead trustees can act with confidence.
Contact details for trustees and paid advisers
Keep a clear contact list for trustees and any paid advisers. Include full name, role, address and a phone or email for quick contact.
Individuals
Record full name, date of birth, National Insurance number and current address. For non-UK addresses add passport or ID details (number, country of issue and expiry date).
Companies
Note company name, UTR, registered office, legal form, governing law and Companies Register reference. This helps when a corporate trustee or beneficiary is involved.
Classes, express specifics and lead trustee duties
Write classes of beneficiaries clearly. For example: “all grandchildren of Sarah Thompson”. Keep the trust name, creation date, tax residence and place of administration on file.
| Item | What to include | When to update |
|---|---|---|
| Individuals | Name, DOB, NI or passport, address | Change of address, name or nationality |
| Companies | Name, UTR, registered office, Companies Register ID | Reorganisation or change of office |
| Exemptions | Short note of decision and the legal basis | When deciding not to register or relying on an exemption |
Quick checklist: update after a change of trustee, beneficiary death, address change or company restructure. If you need more practical guidance, see our unlock the benefits of a UK.
Conclusion
Simple, regular habits cut the time trustees spend on year-end accounts and compliance. Keep a clear paper trail that supports tax returns, trustee accounts and confident decisions across the life of the trust.
Must keep legal items include beneficial owner details for registration and service checks. Day-to-day items to save are bank, investment and expense papers so trustees can explain money flows and meet their duty.
Our practical habit: save statements monthly, file new investment and insurance papers as they arrive, and write decisions up while they are fresh. If there is no business income, keep records until one year after the 31 January filing deadline (for example, keep a 2023–24 return pack until 31 January 2026).
Where assets are complex, tidy your core files, check TRS and beneficial owner entries, and ask for professional advice. Good organisation protects beneficiaries and makes running trusts simpler year after year.