IHTM35071 - Meaning of estate for s.142: introduction

The normal meaning of an individual鈥檚 estate (IHTM04029) is modified for the purposes of IHTA84/S142 (1) in the following way so that it is extended to include any excluded property (IHTM04141) which would otherwise be taken out of the聽Inheritance Tax estate by IHTA84/S5 (1).聽Examples are

  • a non-purchased reversionary interest (IHTM04281)
  • certain British Government securities (IHTM04291) if the deceased was not ordinarily resident in the UK.

It is restricted by the excluding from the meaning of estate property to which the deceased was entitled under

  • IHTA84/S49 (1), settled property, (IHTM16000) and
  • FA86/S102, a gift with reservation (IHTM04072) which is still subject to a reservation at the date of death.

Subject to these modifications, the normal meaning of estate applies.聽Property that may be redirected by a variation includes

  • joint property (IHTM15081) passing by survivorship,
  • joint property passing under a special destination (IHTM15050) in Scotland, and
  • property devolving under legal rights (IHTM12221) in Scotland.聽聽