Commentary

I8.203 The hypothetical sale—the Crossman principle

IHT, trusts and estates

I8.203 The hypothetical sale—the Crossman principle

I8.203 The hypothetical sale—the Crossman principle

The valuation of an asset for IHT purposes is not affected by the fact that an actual sale would either be impossible, or would only fetch a restricted price. In a case where securities in this country were held by the Custodian of Enemy Property for a German national domiciled in Germany during the 1914–18 war, the securities were valued in the usual way although nobody could sell them1. The most common application of this principle is where the articles of association of a private company restrict the price which a member could receive

To continue reading
View the latest version of this document, as well as thousands of others like it, sign in to TolleyLibrary or register for a free trial