Discretionary Trust Tax (DTT)


A discretionary trust is one where there is no immediate benefit to the beneficiary. The trustees manage and distribute the assets in the trust subject to the powers conferred by the deed or will.

If you are resident, or ordinarily resident, in the State and you set up a Discretionary Trust, you must complete and return to Revenue Form DT1. The completed form must be submitted within four months of the date you set up the Discretionary Trust.

Discretionary Trust Tax (DTT) is payable by the trustees or by an agent acting for the trustees. The following DTT charges apply to trust assets:

  • An initial once-off 6% charge applies to the value of all the assets in the trust.
  • An annual 1% charge applies on 31 December each year to the value of all the assets in the trust on that date.

Next: Initial once-off 6% charge