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Home / Simons-Taxes /IHT, trusts and estates /Part I4 Transfers on death /Division I4.4 Post-death rearrangements /Distributions out of settled property within IHTA 1984, s 144 / I4.431A Will drafting with section 144 in mind
Commentary

Section I4.431A Will drafting with section 144 in mind

IHT, trusts and estates

Wills should never be drafted on the assumption that s 144 can be relied upon. However, the possibility should remain on the drafter's radar and so certain points should be noted. The main requirements are first, that there should not be any interest in possession in the property commencing at the death of the testator, and, secondly, that there should be wide enough powers of appointment or distribution of capital and income for the executors or trustees to be able to carry out the testator's wishes.

The usual way to prevent an interest in possession arising is to provide a power to accumulate income combined with a discretionary trust to distribute the income among a class

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