Some sense out of this US nonsense at last!!
George Hodgson, STEP's Deputy Chief Executive said 'Very few UK trusts will have US Specified Persons or US Reportable Accounts. Moreover registering and filing a nil return on the HMRC website was proving a far from entirely smooth process for practitioners given various software limitations in the process. HMRC's move on nil returns, which has been agreed with the US, is therefore extremely welcome. It does, of course, not impact on the obligation to register with the US authorities if the trust qualifies as an FI and also the obligation to conduct due diligence to establish that there are no US Specified Persons connected with the trust. Similarly trusts that are NFEs, while not needing to register with the IRS, will still be subject to due diligence by the FIs they interact with.'