IHTM42070 - Relevant property trusts: chargeable events

A transfer of assets into a trust of relevant property (IHTM42161) is an immediately听chargeable transfer by the settlor. (IHTM42075)听

The main occasions of charge on relevant property are:听

  1. 础鈥�proportionate/exit charge鈥�on distributions or dispositions from the trust in the first ten years since property was first added to the settlement (before the first ten year听anniversary).鈥�The claim is under鈥�IHTA84/S65听and the tax is calculated under鈥�IHTA84/S68听

  2. 罢丑别鈥�ten year听anniversary鈥�(the principal charge).鈥�The claim is under鈥�IHTA84/S64听and the tax is calculated under鈥�IHTA84/S66听

  3. 鈥♀��proportionate/exit charge鈥�on distributions,听dispositions听or where property becomes excluded property as a result of听the settlor ceasing听to be long-term UK resident (IHTM47000) between听ten year听anniversaries.鈥�The claim is under鈥�IHTA84/S65听and the tax is calculated under鈥�IHTA84/S69听

Charging provisions are explained in more detail at chapter 4 of the manual from鈥�IHTM04095.