IHTM11322 - Estate Duty KIW exemptions for settled property: extra statutory concession F13

Under extra-statutory concession F13 an interest in possession ( IHTM16061) in settled property ( IHTM16000) which terminates on death is exempt where

• a person died before 12 March 1952
• whose estate was wholly exempted from Estate Duty (s.8(1) FA 1894) as the property of a common seaman, marine or soldier who died in service of the Crown, and
• under whose will a person who dies on or after 13 March 1975 has a limited interest in possession

Where all these conditions are satisfied, IHT is not charged on any property exempted on the original KIW ( IHTM11281) death which passes under the terms of that person’s will, on the termination of the limited interest on the later death. This concession operates on the relationship of the person whose interest terminates to the person on whose death the KIW exemption applied.

(This text has been withheld because of exemptions in the Freedom of Information Act 2000)