Who is required to comply with 4AMLD?
Under 4AMLD, trustees of certain settlements are required to maintain accurate and up to date records in writing under regulation 44 of the 2017 Money Laundering Regulations Act. These records should be kept by trustees of ‘relevant trusts’, which can include:
- UK express trusts
- Non-UK express trusts that have UK source income or assets and are required to pay UK tax, including Income Tax, Capital Gains Tax, Inheritance Tax or Stamp Duty Land Tax
- UK trusts not currently registered on the trust register
If trustees are being paid to act as trustees of that trust, they are required to retain this information for five years after the final trust distributions before they can delete these records. In certain circumstances, they may be required to retain this information for longer.