Commentary

I3.216 Unenforceable rights or interests

IHT, trusts and estates

I3.216 Unenforceable rights or interests

I3.216 Unenforceable rights or interests

A mere hope of something, or a right which is unenforceable, is not regarded as property for IHT purposes1.

HMRC considers that the question of whether a particular item is, or is not, a mere hope has to be considered on the basis of the facts existing at the date of valuation as a matter of general law. For example, farming grants and subsidies under various schemes used to be payable at the discretion of the relevant minister, but the issue of a cheque as a result of a claim was taken to be the irrevocable exercise of that discretion. Up to the moment of the issue of the cheque, any expectation of payment was therefore a mere hope, but thereafter there was a right to the

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