In Shelford (Executors of J Herbert) v HMRC [2020] UKFTT 53 (TC) (27 January 2020) the First-tier Tribunal (FTT) found in favour of HMRC in appeals against IHT determinations issued under IHTA 1984 s 222.
The FTT considered the IHT analysis of the home loan scheme entered into by Mr Herbert in 2002 the purpose of which was agreed to be to remove the value of Mr Herbert’s home from his estate for IHT purposes while allowing him to continue to live in it rent-free for the remainder of his life. Mr Herbert established a trust in which he had a life interest. The following day he entered into the sale agreement by which the trustees agreed to buy his house and simultaneously the loan agreement by which he agreed to loan the trustees the funds for the house purchase.
The agreements were drafted in...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
In Shelford (Executors of J Herbert) v HMRC [2020] UKFTT 53 (TC) (27 January 2020) the First-tier Tribunal (FTT) found in favour of HMRC in appeals against IHT determinations issued under IHTA 1984 s 222.
The FTT considered the IHT analysis of the home loan scheme entered into by Mr Herbert in 2002 the purpose of which was agreed to be to remove the value of Mr Herbert’s home from his estate for IHT purposes while allowing him to continue to live in it rent-free for the remainder of his life. Mr Herbert established a trust in which he had a life interest. The following day he entered into the sale agreement by which the trustees agreed to buy his house and simultaneously the loan agreement by which he agreed to loan the trustees the funds for the house purchase.
The agreements were drafted in...
If you or your firm subscribes to Taxjournal.com, please click the login box below:
If you do not subscribe but are a registered user, please enter your details in the following boxes:
