Assume that a discretionary trust has the same income and expenses in 2017 -18 as the trust described in the above example. Assume also that a payment of £ 8,250 was made to a beneficiary during the year.

(a) Compute the trustees' income tax liability for 2017-18.

(b) Show how the £ 8,250 received by the beneficiary will be treated in his or her personal tax computation.