CHARGEABLE TRANSFERS
27/04/2009
Chargeable lifetime transfers are transfers that are immediately chargeable to inheritance tax and therefore could incur tax at the lifetime rate (20 per cent). Prior to 22 March 2006 the main category of such transfers were transfers to a discretionary trust. From 22 March 2006 any transfer into a trust during the Settlor’s lifetime will constitute a chargeable transfer (s.3A (1A) IHTA 1984), unless it is a gift to a disabled person’s interest trust.
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