Distributions from trusts may give rise to income tax or CGT. The tax treatment of distributions from trusts depends on whether a trust is a UK resident trust or an offshore trust. For income tax purposes regarding UK resident trusts we also need to consider the type of a trust (discretionary v interest in possession) and special anti-avoidance rules apply to settlor interested trusts irrespective of the type of trust. Reliefs are available for CGT purposes. When dealing with offshore trusts the charge to income tax depends on the source of income and whether it is a settlor interested or non-settlor interested trust. Trust gains may be attributed to the settlor or the beneficiaries.