Q&As

A deceased owns a rental property with their spouse as tenants in common, 50/50. The property receives rental income but they have created a declaration of trust confirming that the income will solely belong to the deceased. Does the income follow the capital so in fact the income should have been share between them or is the declaration sufficient?

read titleRead full title
Published on LexisPSL on 16/12/2019

The following Private Client Q&A provides comprehensive and up to date legal information covering:

  • A deceased owns a rental property with their spouse as tenants in common, 50/50. The property receives rental income but they have created a declaration of trust confirming that the income will solely belong to the deceased. Does the income follow the capital so in fact the income should have been share between them or is the declaration sufficient?

A deceased owns a rental property with their spouse as tenants in common, 50/50. The property receives rental income but they have created a declaration of trust confirming that the income will solely belong to the deceased. Does the income follow the capital so in fact the income should have been share between them or is the declaration sufficient?

HMRC will only accept that income is shared between joint owners of property in specified proportions if those proportions reflect the beneficial ownership. As well as providing evidence of the underlying beneficial ownership, the legal owners would also need to file Form 17

Popular documents