and capital shares. However, the number of split capital trusts has fallen dramatically since the split capital investment trust crisis and there were only 12 split capital investment trusts left in existence by 2018. Each of these 12 has only two classes of share: zero dividend preference shares and ordinary shares. Some split capital trusts have a limited life determined at launch known as the wind-up date. Typically the life of a split capital trust is five to ten years. However, this life can be extended by shareholder vote. In the heyday of split capital trusts, splits were more complicated and could have share classes such as the following (in order of typical priority and increasing risk): Zero Dividend Preference shares: no dividends, only capital growth at a pre-established redemption price (assuming sufficient assets) Income shares: entitled to most (or all) of the income generated from the assets of a trust until the wind-up date, with some capital protection Annuity Income shares: very high and rising yield, but virtually no capital protection Ordinary Income shares (AKA Income & Residual Capital shares): a high income and a share of the remaining assets of the trust after prior ranking shares Capital shares: entitled most (or all) of the remaining assets after prior ranking share classes have been paid; very high risk The type of share invested in is ranked in a predetermined order of priority, which becomes important when the trust reaches its wind-up date. If the Split has acquired any debt, debentures or loan stock, then this is paid out first, before any shareholders. Next in line to be repaid are Zero Dividend Preference shares, followed by any Income shares and then Capital. Although this order of priority is the most common way shares are paid out at the wind-up date, it may alter slightly from trust to trust. Splits may also issue Packaged Units combining certain classes of share, usually reflecting the share classes in the trust usually in the same ratio. This makes them essentially the same investment as an ordinary share in a conventional Investment Trust. Taxation Provided that it is approved by HM Revenue & Customs, an investment trust's investment income and capital gains are generally not taxed within the investment trust. This avoids the double taxation which would otherwise arise when shareholders receive income, or sell their shares in the investment trust and are taxed on