When an interest in possession ( IHTM16061) in settled property ( IHTM16000) terminates on death, the settled property forms part of the death estate. Subject to one qualification, you may allow any appropriate QSR ( IHTM22041). The qualification is that you will have to restrict the tax available for deduction if part (or all) has been deducted against tax on a lifetime ( IHTM22092) termination of the deceased's interest in part of the settled property.
