Trusts v FICs

While trusts have been around since the 16th century the family investment company (FIC) challenger to the throne has also now been around for a few years; certainly long enough for HMRC to have a specialist unit to deal with them.

Introducing the contenders

When we think of all the things Henry VIII brought us – including the most painful way to get rid of a spouse (and by this we mean divorce obviously) – trusts are probably not the first thought. However dating back to the Statute of Uses in 1535 trusts have been around for quite some time for the simple reason that they are so well useful.

Despite having a bad rap in more recent years tarred with the tax avoidance brush the main purpose of trusts is to protect assets be that from disgruntled...