Finance Act 2003 (c. 14)

SCHEDULES

SCHEDULE 16 U.K. Stamp duty land tax: trusts and powers

Consideration for exercise of power of appointment or discretion U.K.

7 U.K. Where a chargeable interest is acquired by virtue of—

(a) the exercise of a power of appointment, or

(b) the exercise of a discretion vested in trustees of a settlement,

there shall be treated as consideration for the acquisition of the interest or right by virtue of the exercise of the power or discretion any consideration given for the person in whose favour the appointment was made or the discretion was exercised becoming an object of the power or discretion.

Reallocation of trust property as between beneficiaries U.K.

[F1 8 Where—

(a) the trustees of a settlement reallocate trust property in such a way that a beneficiary acquires an interest in certain trust property and ceases to have an interest in other trust property, and

(b) the beneficiary consents to ceasing to have an interest in that other property,

the fact that he gives consent does not mean that there is chargeable consideration for the acquisition.]

Textual Amendments

F1 Sch. 16 para. 8 and cross-heading inserted (with effect in accordance with s. 165(2) of the amending Act) by Finance Act 2006 (c. 25), s. 165(1)