Offshore trustees are reminded that the deadline for making a rebasing election under para 126, Sch 7, FA 2008 expires on 31 January 2010.
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The effect of the election is that all gains accrued on trust assets (and underlying company assets) up to 5 April 2008 will continue to be exempt from tax. In many cases lodging the election is to be advised as a precautionary measure, especially where there are substantial unrealised gains in the value of trust assets. It applies when there has been a ‘specified event’ in during the 2008/9 tax year.