SCHEDULE 15Provisions Consequential on Betterment Levy
Relief in respect of levy from estate duty on gifts inter vivos, etc.
2
(1)
If property comprised in a gift inter vivos, and not settled by the gift, is deemed for the purposes of estate duty to pass on a death, and by reason of a chargeable act or event at a time before the death betterment levy is chargeable—
(a)
on the donee or his personal representative in respect of a chargeable interest which is at that time comprised in the gift, and which has not been settled by the donee, or
(b)
if the principal value of the property for the purpose of estate duty on the death is to be ascertained at a time before the death, on a successor to the donee in respect of a chargeable interest which at that time was comprised in the gift, and which was not settled by the donee,
the principal value of the property for the purposes of estate duty on the death shall be reduced by the principal amount of the betterment levy, and that reduction shall be made before any reduction of that value under section 64 of the M1Finance Act 1960 (graduation of charge by reference to period between gift and death).
(2)
If any property ceasing to be settled property by virtue of subsection (8) proviso or subsection (12) proviso of section 38 of the M2Finance Act 1957 is to be treated as comprised in a gift inter vivos deemed for purposes of estate duty to pass on a death, or as the case may be as comprised in property in which an interest within section 43 of the M3Finance Act 1940 subsisted and, by reason of a chargeable act or event after it ceases to be settled property but before the death, betterment levy is chargeable on the person taking the settled property or his successor in respect of a chargeable interest which was comprised in that property when it ceased to be settled property, the principal value of the property for the purposes of estate duty on the death shall be reduced by the principal amount of the betterment levy, and that reduction shall be made before any reduction of that value under section 64 of the Finance Act 1960.
(3)
Where for the purposes of Part III of the M4Land Commission Act 1967 a notice of assessment of betterment levy results in an operative assessment of levy it shall become final and conclusive for the purposes of this paragraph, but subject to any adjustment under section 54 or section 55 of that Act (mistake of fact and further notice of assessment of levy), or under any other provision of that Act.
(4)
The Board may require the Land Commission to issue a certificate giving particulars of the relevant act or event and of the amount of the levy; and in any proceedings relating to relief under this paragraph the certificate shall be sufficient evidence of the facts which it states.
Where the Land Commission have been required to give a certificate under this sub-paragraph it shall be their duty to inform the Board of any adjustment of the levy falling to be made under the M5Land Commission Act 1967.
(5)
Where betterment levy is chargeable in respect of land part only of which is the land comprised in the gift, or where two or more persons are jointly or severally liable to pay the levy, the levy shall be apportioned by the Board in such manner as may be appropriate in the circumstances and section 60(3) of the M6Finance (1909-10) Act 1910 (right of appeal) shall apply to any question of apportionment under this sub-paragraph as it applies to a question of the value of any land.
The Land Commission shall afford to the Board all such information as they may require for the purpose of arriving at an apportionment under this sub-paragraph.
(6)
In this paragraph
" chargeable interest " has the meaning given by paragraph 2(1) of Schedule 5 to the Land Commission Act 1967 ;
" successor ", in relation to any person, means his successor in title, not being a person who derives title under a disposition for valuable consideration.
(7)
This paragraph shall apply in relation to any chargeable act or event before, as well as after, the passing of this Act.
(8)
This paragraph shall be construed as one with the M7Finance Act 1894.