IHTM14151 - Schemes to exploit annual exemption: introduction

Some transferors make a series of transactions designed to exploit the annual exemption. The series fall into two broad types of scheme

• transfer of the property by way of sale ( IHTM14152), but with the sale price unpaid and treated as a loan by the transferor which is then written off against the annual exemption and
• annual transfers of portions of a property ( IHTM14161) the portions being equal to the annual exemptions.