The next move

For financial advisers involved in trustee investment work, particularly those working with law firms, accumulation and maintenance (A&M) trusts were formerly a popular type of trust. However, since the Budget 2006 A&M trusts are now becoming a historic footnote as changes to inheritance tax (IHT) have made them unattractive for future use with the change from PET to CLT status. For A&M trusts set up before 22 March 2006 we are already well into the two-year transitional period which lasts until 5 April 2008. This transitional period started with Budget Day in 2006 and is open to all pre-...