Bearing in mind that claims on settled property in the
‘close company’ (
IHTM14851) regime under IHTA84/PartIV
cases arise in their normal context and under normal charging
sections it would seem that if the trusts identified above (
IHTM16243) would in their own right,
satisfy IHTA84/S48 (3), and the close company in question, being
‘the property’, is incorporated (and therefore
domiciled) outside the UK, then an apportionment will not be made.
So the trust property takes the benefit of excluded property
treatment.
IHTA84/S94 (2)(b) achieves this result for lifetime
transfers.
Where a company has the interest in possession as above, the
position is more explicit -S48 (4). If the trust property is
invested in FOTRA securities (
IHTM04306), and on looking through the
company to the real beneficiaries, it can be seen that those
individuals qualify under S48 (4), then exemption will be
given.
