Trusts and tax for ATX (UK) - part 1: self-test answers

Test your understanding: answers

(1). Statement A is true.

Statement B is false.
The legal owner of a trust’s assets is the trustee. The beneficiary is the beneficial owner of the assets.

(2). All three statements are potentially valid reasons for creating a trust.

(3). Description B is the correct answer.
The remainderman is the person who receives the trust property on the death of the life tenant. The remainderman’s interest is known as a ‘reversionary interest’.