The following Trusts and Inheritance Tax guidance note Produced by Tolley in association with Higgs & Sons provides comprehensive and up to date tax information covering:
A Will is a written document in which a person records his wishes that are intended to take effect after his death. His wishes may be set out in more than one document (perhaps dealing with his property in different parts of the world) and thus it is possible to have more than one valid Will. Any changes or additions to a Will may be made by one or more codicils. The Will and its codicils are regarded and interpreted as one document.
The primary purpose of a Will is to provide for the disposal of property after death. It may also be used to express other wishes including the appointment of executors and guardians for minor children and to give direction for the disposal of the deceased’s remains.
A Will (together with its codicils, if any) takes effect only on death; it cannot confer benefits while the testator is still alive. Also, a Will cannot limit dealing with property during his lifetime and, until death, the Will can always be amended or revoked.
In order to be valid, both the testator and the document have to satisfy a number of requirements.
A testator has to be 18 years old or over to make a valid Will. There is a rule that a person under the age of 18 can make a Will if he is a member of the Armed Forces on active service, but this is extremely rare in practice today.
A Will is only valid if the testator was of sound mind, memory and understanding when he signed the Will or when he gave instructions for the Will to be drawn up. The common law test for capacity was set out by the court in the case of Banks v Goodfellow and the statutory test is in the Mental Capacity Act 2005, s 2. The principles established by Banks v Goodfellow are that a testator shall:
**Free trials are only available to individuals based in the UK. We may terminate this trial at any time or decide not to give a trial, for any reason.
Access this article and thousands of others like it free for 7 days with a trial of TolleyGuidance.
Read full article
Already a subscriber? Login
Normal due dateIndividuals are required to pay any outstanding income tax and Class 4 National Insurance, Class 2 National Insurance, and capital gains tax due for the tax year by 31 January following the end of the tax year (ie 31 January 2021 for the 2019/20 tax year). From 6 April 2020, UK
Maintenance payments are payments made by a taxpayer to their former or separated spouse for the maintenance of that former spouse or their children. To obtain any tax relief for maintenance payments, one of the couple must have been born before 5 April 1935 and the payments must be made by virtue
Duty to prepare trust accountsUnder the laws of England and Wales, trustees have a duty to account to the beneficiaries for their financial administration of the trust fund. This duty is established by a substantial body of case law. In the case of Armitage v Nurse, Millett LJ stated:“Every
The rent-a-room scheme was introduced in the early 1990s to encourage homeowners to take in lodgers.Fundamentally, the rent-a-room scheme is a relief which means that the rent received by an individual from a lodger (up to a prescribed limit) can be exempt from income tax. If the gross rents are
To view our latest tax guidance content, sign in to Tolley Guidance or register for a free trial.