The SA900 is the Self Assessment return that trustees and personal representatives use to report a trust’s or estate’s income and capital gains. The return for 2025 to 2026 must reach HMRC by 31 October 2026 on paper or 31 January 2027 online, and any tax for the year, together with the first payment on account for 2026 to 2027, is due by 31 January 2027. The second payment on account follows on 31 July 2027.

Who has to file an SA900?

HMRC’s guidance on trustees’ responsibilities says trustees must report the trust’s income and gains on a trust and estate Self Assessment return after the end of each tax year once the trust is liable to tax. In practice the trust first registers on the Trust Registration Service, which issues its Unique Taxpayer Reference, and HMRC then sends a notice to file. The front page of the return states that the notice requires the trustees by law to send it.

Personal representatives use the same form for an estate in administration that cannot be dealt with informally; the rules for estates are covered in income tax and CGT during estate administration. Where there are two or more trustees, they nominate a principal acting trustee to deal with the trust’s tax, but HMRC’s guidance warns that the others remain accountable and can be charged tax and interest if the trust does not pay.

Some trustees can skip most of the return. The flow chart in the Trust and Estate Tax Return Guide (SA950) explains that bare trustees need not file at all, because the beneficiaries are taxed directly, and that trustees of some interest in possession trusts whose income is all UK income taxed at source, or mandated to the beneficiary, answer only a few questions.

What does the return contain?

Every filer gets the first 12 pages. Questions 1 to 7 decide which supplementary pages are needed, and the SA950 makes clear it is the trustees’ responsibility to include the right ones. The supplementary pages are:

  • SA901 Trust and Estate Trade, and SA901L for Lloyd’s underwriters;
  • SA902 Partnership;
  • SA903 UK Property;
  • SA904 Foreign;
  • SA905 Capital Gains;
  • SA906 Non residence;
  • SA907 Charities.

The main pages then cover the points that are specific to trusts:

Question 8
Whether the trustees are taxable at the standard rates or the special trust rates, worked out from a series of questions about entitlement to income, discretion and accumulation.
Question 9B
The tax free amount for low income trusts.
Question 13
Income not liable at the special trust rates, such as income allocated for specific purposes.
Question 14
Discretionary payments of income and the tax pool brought forward.
Questions 15 and 15A
Capital payments to the settlor’s minor children and capital transactions with settlors, which can make the settlor taxable.
Question 16
Capital payments or benefits from trusts that have ever been non resident.
Question 20
Confirmation that the trust register has been updated, or that nothing has changed.
Question 21
Other information, including the date of death for an estate and a box to flag provisional figures.

What rates of tax apply?

The SA950 for 2025 to 2026 describes two sets of rates. The standard rates, the basic rate of 20% and the dividend ordinary rate of 8.75%, apply to trustees of trusts where the beneficiary is entitled to the income as it arises. The special trust rates, 45% and a dividend trust rate of 39.35%, apply to discretionary and accumulation trusts. HMRC’s trusts and Income Tax guidance confirms the dividend rate for interest in possession trustees rises to 10.75% for income from 6 April 2026, which will affect the 2026 to 2027 return. Trustees’ capital gains are charged at 24%.

Income is not taxed at all if it is within the tax free amount for low income trusts. The SA950 explains this is not an allowance: once total income exceeds the amount, all of it is taxed. Where income is charged at trust rates, the £500 is shared according to the number of other trusts the settlor has made:

Other trusts made by the settlor Tax free amount
None £500
One £250
Two £167
Three £125
Four or more £100

Personal representatives are taxed only at the basic and dividend rates, never at the higher rates, and the same £500 rule applies to them.

Discretionary payments of income carry a 45% tax credit for the beneficiary. The Trust and Estate Tax Calculation Guide (SA951) explains that if the credits on those payments exceed the tax pool of tax already paid by the trustees, the trustees must pay the difference. The trustees give each beneficiary an R185 showing the income and tax.

What are the filing deadlines and penalties?

For 2025 to 2026, the return must arrive by 31 October 2026 if it is on paper or if the trustees want HMRC to calculate the tax, and by 31 January 2027 if filed online. Online filing of the SA900 needs commercial software. If HMRC issued the notice after 31 July 2026, the deadline is three months after the notice if that is later.

The SA950 sets out the late filing penalties:

  • £100 automatically, even if there is no tax to pay;
  • over three months late, £10 a day for up to 90 days, a maximum of £900;
  • over six months late, a further £300 or 5% of the tax due if higher;
  • over twelve months late, another £300 or 5%, or up to 100% of the tax where information is deliberately withheld, rising to 200% for some offshore income and gains.

The structure mirrors the individual regime described in Self Assessment deadlines and penalties.

When is the tax paid?

The balance for 2025 to 2026 is due on 31 January 2027. Payments on account for 2026 to 2027 are each normally half of the previous year’s liability after tax deducted at source, due on 31 January 2027 and 31 July 2027. Under the SA951 calculation, no payments on account are needed if the previous year’s Income Tax bill net of tax deducted at source is under £1,000, or if 80% or more of the total liability was covered by tax deducted at source. Trustees can claim to reduce them if they expect a lower bill; see payments on account.

Interest runs on late payments, and the SA950 lists late payment penalties of 5% of tax unpaid at 1 March 2027, a further 5% of tax unpaid after 2 August 2027 and another 5% after 2 February 2028.

How might the figures look?

Illustration only. A discretionary trust, the settlor’s only trust, has rental profit of £10,000 in 2025 to 2026 and no other income or expenses. Income is above £500, so all of it is taxed at 45%: £4,500. The trustees paid payments on account of £2,000 each during the year. By 31 January 2027 they pay the £500 balance plus a first payment on account for 2026 to 2027 of £2,250, half of £4,500, making £2,750. The second £2,250 is due on 31 July 2027.

What happens after the return is filed?

HMRC has twelve months from receipt to open a check into the return. Provisional figures are allowed only where the trustees have taken all reasonable steps to obtain final ones, and pressure of work or complexity are not accepted as reasons. Inaccuracies caused by failing to take reasonable care can lead to penalties of 30% to 100% of the extra tax. Errors found later can be corrected; see amending a tax return.

What mistakes come up most often?

  • Missing supplementary pages, especially SA905 when trust assets were sold or a beneficiary became absolutely entitled.
  • Answering Question 8 wrongly, so income is taxed at 20% that should be at 45%, or the reverse.
  • Claiming the full £500 tax free amount when the settlor has made other trusts.
  • Paying discretionary income without checking the tax pool.
  • Filing on paper after 31 October; switching to online filing by 31 January avoids the penalty only if no paper return was sent first.
  • Forgetting the Question 20 confirmation about the trust register.

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Reviewed by Christine Anderson, Broker, Solar Protect. Last reviewed 8 October 2026. Part of Accountapedia, the Solar Protect guide to UK tax and accounting. This page is general information, not personalised advice.