Commentary

I3.717 The contribution condition (chattels)

IHT, trusts and estates

I3.717 The contribution condition (chattels)

I3.717 The contribution condition (chattels)

The 'contribution condition' in relation to a chattel is that at any time after 17 March 1986 the chargeable person had directly or indirectly provided, otherwise than by an excluded transaction, any of the consideration given by another person for the acquisition of:

  1.  

    (a)     the chattel, or

  2.  

    (b)     any other property the proceeds of the disposal of which were (directly or indirectly) applied by another person towards the acquisition of the chattel1.

The contribution requirement as regards (a) above (contained in FA 2004, Sch 15, para 6(3)(a)) applies where the taxpayer is in possession of or has the use of a chattel, having at any time after 17 March 1986 provided any consideration given by another person in acquiring that chattel.

The contribution requirement as regards (b) above (contained in FA 2004, Sch 15, para 6(3)(b)) applies where the taxpayer is in possession of or has the use of a chattel, having at any time after 17 March 1986 provided any consideration given by another

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