Liam Shorte

From the 1st of July.

Yeah, it looks like most people I'm saying wait for the draft legislation before making any major moves.

But what you can be doing now is review every single asset you know or that you have in your portfolio and look at its profit and loss position, its income position, its growth position, so that

When the legislation is finalized, you're ready to make your decisions, informed decisions.

If you were already planning to sell something, that's fine.

Maybe bring it forward to 30th of June this year, before 30th of June, just in case.

But don't just make decisions.

Then once the changes are through, that's when you need to review your investment strategy and go,

Should I now be more focusing on long-term income-focused assets and away from strategies that hide capital growth because of the changes?

Yeah.

For example, I saw somebody yesterday sort of recommending people jump into property as quick as they can, jump into shares.

There's never a reason to rush like that because you more than likely make an absolute hash of it.

Yeah, well, they're really going to need to review the wills and check.

You know, the idea with a testamentary trust is that you're leaving money to your beneficiaries.

Yeah, so a testamentary trust, a discretionary one, that allows your executor or whoever runs the testamentary trust after you've passed away to decide where the income from the assets you've left to them, how that income is distributed each year.

Now,

This was originally designed to make sure that it was designed in England to have a trust where if a father passed away, they left the money to their daughter.

It was protecting it from the husband who got most of the other assets.

And the idea was that the daughter and her children would be taken care of no matter what happened.

The money could be distributed down through the family using the fact that each member of that family, even under 18, could be treated as an adult for tax purposes.