I8.373 Accrued income

I8.373 Accrued income

For IHT purposes, the correct apportionment of accrued income is important in deciding whether it forms part of the value transferred or not and in allocating the IHT between the accountable persons on a death.

Any entitlement to income under a trust in England and Wales created or arising on or after 1 October 2013 is treated as income as it arises (and accordingly the Apportionment Act 1870 s 2, which provides for income to accrue from day to day, does not apply in relation to the trust) unless the trust provides otherwise1.

Prior to 1 October 2013 any entitlement to income was treated

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