The deregistration of trusts
There is no provision in the Trust Property Control Act, 1988 that requires the deregistration of trusts.
However, there may be circumstances that may require confirmation from the Master that a trust has been terminated. If a trust has been terminated the Master will close his or her file and may then confirm that the trust has been terminated and that the file is closed. In order to close the file, the Master must request the following documents form the trustees:
- Reasons for termination of the trust or, where applicable, the original signed resolution terminating the trust. The resolution must contain the following information:
- State whether the trust was dormant or active;
- Whether a bank account was opened in the name of the trust and if so, that it has been closed.
- The original letter of authority;
- Bank statements reflecting a nil balance or the final statement or a letter from the bank confirming that the account has been closed (if a bank account was opened);
- Proof that the beneficiaries have received their benefits; and
- An affidavit from the trustees confirming that the trust has been divested of all assets.
When confirming the termination of the trust and informing the trustees that the trust file is closed, the Master must direct the attention of the trustees to the provisions of section 17 of the Trust Property Control Act, 1988.
This article is a general information sheet and should not be used or relied upon as professional advice. No liability can be accepted for any errors or omissions nor for any loss or damage arising from reliance upon any information herein. Always contact your financial adviser for specific and detailed advice.