IHTM35184 - Distribution from a
relevant property trust set up Will: IHT implications
Where TG tell you that the deed satisfies the conditions at
IHTM35182
- tax is not charged on the chargeable event
itself, so there is no need for the trustees to complete an IHT100,
and
- the IHTA applies as if the will had
provided that on the testator's death the property should be held
in the same way as it is held after the event. This means that any
exemption appropriate to the beneficiary is available. You should
calculate the tax on the testator's estate accordingly.
A number of the instructions that apply to instruments of
variation also apply to deeds of appointment that satisfy
IHTA84/S144, particularly
- an appointment followed by an IoV, or visa
versa does not offend the rule about redirecting the same property
twice, (
IHTM35085)
- where property is appointed to a spouse or
civil partner (
IHTM11032) (
IHTM35091) you should investigate
matter in the same way,
- where a repayment is required that is
outside your authority, you should not notify the taxpayer that
IHTA84/S144 applies without the approval of your manager.
