When a bankruptcy order is made, a bankrupt’s property normally automatically vests in the Official Receiver/trustee in bankruptcy. However, property owned by the bankrupt on trust does not. This means that in the case of co-owned property (whether as joint tenants or as tenants in common), where one joint proprietor is made bankrupt, only the bankrupt’s equitable interest vests in the trustee. Bankruptcy automatically severs a joint tenancy. So, the starting point is that the legal title will be vested in the spouses jointly and they will hold the beneficial interests on trust for themselves. Section 306 of the Insolvency Act 1986 still acts to vest the beneficial interest of the bankrupt’s share in the trustee.

The main interests of a landlord letting a property (and perhaps particularly a student property) are in the rent being paid and the property not being damaged and being kept in good repair. While the primary obligation to comply with the terms of the tenancy agreement are of course the tenant’s, it will often be the case that a landlord will require a guarantee so that if the tenant defaults, there is a third party the landlord can look to for recourse. In the case of a student letting this will usually be a parental guarantee. Ordinarily,

There are special rules that that must be considered when assessing whether the higher 3% rates of stamp duty land tax (SDLT) apply to an individual trustee acquiring a dwelling, either personally or as a trustee of a trust. As to how the rules

The requirement of Secretary of State consent to the sale of a school site under Schedule 14 of the Education Act 2011 (EA 2011) does apply to Wales. However, EA 2011, Sch 14 is concerned with the sale of land in some way connected to an academy, in other words, there

There are a number of conditions that must be satisfied for the residence nil rate band (RNRB) to be available on a person’s death. The answer requires a consideration of those conditions in circumstances when a property is deemed to have been a part of a person’s estate under the gift with reservation of benefit rules, instead of actually being comprised in the estate at death. In the scenario of this Q&A, it will be important to establish when the gift with reservation came to an end. It is probable the reservation of benefit continued past the date that the

If it is not possible to determine which spouse or civil partner died first then the younger is deemed to have survived the elder pursuant to section 184 of the Law of Property Act 1925 (LPA 1925). The availability of residence nil rate band (RNRB) in circumstances like this will depend on there being a qualifying residential property interest (generally the family home) in one or both estates, the value of the home, and how the home was owned, whether by one spouse or both, and whether as joint tenants or tenants in common. The following is a guide, assuming ownership as tenants in common in equal shares and death on or after 6 April 2017. If there is no survivorship clause in the Wills then the Will of the elder

For information on the residence nil rate band (RNRB) and the circumstances in which it may be claimed, see Practice Note: IHT—residence nil rate band. Availability of the downsizing provisions The downsizing provisions, which were introduced as an amendment to the original provisions in recognition of the fact that older people may sell the family home in order to move to a smaller home or residential care in later years of life, are only available where a qualifying former residential interest (QFRI) was sold on or after 8 July 2015. Therefore, where the family home was sold before that date and there is no other qualifying residential interest (QRI) in the estate on death, the RNRB

RNRB The RNRB is available to the estate of an individual who dies on or after 6 April 2017. The RNRB is only available where a qualifying residential interest (QRI) is ‘closely inherited’ on the deceased’s death. Section 8H(2)–(3) of the Inheritance Tax Act 1984 (IHTA 1984) defines a QRI. The main condition is that the deceased must have had an interest in a property which was occupied as their residence at some point when they owned it and which would have been part of their estate had they still owned it at their death. If a person's estate includes only one such property interest, that will be the QRI. It is not necessary for the QRI to be a residence of the deceased at the

Where the qualifying residential interest (QRI) is left on trust such that it becomes settled property following the deceased’s death, it is only ‘closely inherited’ for residence nil rate band (RNRB) purposes if the trust qualifies as an immediate post-death interest (IPDI). See section 8J(4) of the Inheritance Tax Act 1984 (IHTA 1984). For further guidance, see Practice Notes: IHT—residence nil rate band and IHT—residence nil rate band Q&As. See in particular section ‘Where the qualifying residential interest passes to a mixture of direct descendants and others’ in Practice Note: IHT—residence nil rate band Q&As, which

This Q&A refers you to Practice Note: IHT—residence nil rate band, which sets out the conditions for the residence nil rate band (RNRB) to be available. All individuals (regardless of long-term residence status) are entitled to the basic NRB where there is a chargeable estate subject to UK IHT. The RNRB is an extension of the basic NRB and is likewise available provided the condition of having resided in the property at some stage can be shown such that there is a qualifying residential interest (QRI) that is closely inherited. This scenario was considered in Q&A when the relevant IHT regime was based on domicile: Is the inheritance

The residence nil rate band (RNRB) is an additional inheritance tax nil rate threshold which is available for deaths on or after 6 April 2017 where a qualifying residential interest (QRI) is closely inherited, subject to certain conditions and tapering of the relief for estates above £2m. For further information on how the RNRB applies and how it is claimed, see Practice Notes: IHT—residence nil rate band and IHT—residence nil rate band Q&As. In this Q&A, we are considering whether the step-child C of an individual’s W predeceased spouse H has a sufficiently close relationship to W for the RNRB to be available on W’s death in relation to a QRI which passes to both C and D (H’s biological child). C is W’s predeceased

The residential nil rate band (RNRB) is an addition to the basic nil rate band (NRB), which further reduces the inheritance tax (IHT) payable on death. It is applied to the taxable value of the estate, but differs from the basic NRB in that it is restricted to: • the value of a residential property interest • the estate on death, and • the inheritance of lineal descendants Qualifying residential interest The RNRB is set against the value of a residential interest passing to qualifying beneficiaries. The main condition is that the deceased must have had an interest in a property which was occupied as that person's residence when they owned it and which would have been part of their estate (section 8H(2)–(3) of the Inheritance Tax Act 1984 (IHTA 1984)). Closely inherited 'Closely inherited'