Commentary

I12.1118 Trusts for non-exempt beneficiaries other than minor children

IHT, trusts and estates

I12.1118 Trusts for non-exempt beneficiaries other than minor children

I12.1118 Trusts for non-exempt beneficiaries other than minor children

The choice for IHT purposes, if absolute gifts are decided against, is between an IPDI or a relevant property trust. In this kind of case a relevant property trust will usually save IHT, unless the aggregate of the personal assets of the intended primary beneficiary and the fund being used to benefit him or her will be plainly below the IHT threshold, or the property will go to charity on the primary beneficiary's death, or the beneficiary is young and in good health and might survive for many years. The advantages of a relevant property trust are particularly strong where a testator wants to leave some money to boost the income of a not very well-off sibling or friend of mature years, or wants to provide for a partner who is not a spouse or civil partner, but wants the property to go ultimately to other persons, or where the testator wishes to benefit some or all of the members of a class such as the testator's descendants of more than one generation and wishes to maintain flexibility as to the relative amounts ultimately taken by each beneficiary. There is

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