½Û×ÓÊÓƵ

Interest in possession settlements

The position of a life tenant or annuitant is the same, for the purposes of conditional exemption, as that of an individual absolutely entitled to heritage property. All the rules as set out in I7.501–I7.515 can be read as applying to settled property in which there is an interest in possession.

Settlements with no interest in possession

The general provisions relating to conditionally exempt transfers do apply to property held on trusts with no interest in possession (generally relevant property trusts), and the rules set out in I7.501–I7.515 can be read as applying universally, but subject to the comments below.

Conditional exemption from exit charges

Conditional exemption from an exit charge arises where:

1. Ìý

   •ÌýÌýÌýÌý the property in question has been comprised in the settlement throughout the six years ending with the event which would otherwise have given rise to the charge

2. Ìý

   •ÌýÌýÌýÌý the property is designated by the Board on a claim being made for the purpose (within two years)¹,