This guidance note describes the method of calculating an exit charge when the occasion of charge (that is the date of the beneficiary’s entitlement) was before 18 November 2015. The calculation of the exit charge on occasions of charge after that date is provided in the Exit charge guidance note, which also illustrates the most recent amendments. This guidance note provides:
a summary of the changes
a description of the old style calculation
When trust property ceases to be relevant property, it becomes subject to a charge to inheritance tax. This charge is known as either:
the exit charge
the proportionate charge
IHTA 1984, s 65
See the Relevant property guidance note for an explanation of what relevant property is.
The comments on obtaining valuations in the Principal (10-year) charge guidance note apply equally here.
In summary, the changes to the exit charge calculation relate to the notional transfer, which is explained below. All other
**Free trials are only available to individuals based in the UK, Ireland and selected UK overseas territories and Caribbean countries. We may terminate this trial at any time or decide not to give a trial, for any reason.
Exemption ― burial and cremationThis guidance note provides an overview of the VAT treatment of services that are provided in connection with the burial or cremation of human remains.VAT treatmentThe following services are exempt from VAT:•the disposal of the remains of the dead•making arrangements
Research and development expenditure credit (RDEC)This guidance note provides information on how research and development expenditure credits (RDEC) are calculated and utilised. The Qualifying expenditure for R&D tax relief guidance note provides information on what expenditure qualifies for
Furnished holiday letsThis guidance note sets out the qualifying conditions for a property let to be treated as a furnished holiday let (FHL) for tax purposes and the subsequent tax implications.Whether or not a property qualifies as an FHL can make an important difference to the taxation