Income Tax (Trading and Other Income) Act 2005

649 Charge to tax on estate income U.K.

(1) Income tax is charged on estate income.

[F1 (1A) But income tax is not charged on estate income so far as that income consists of a basic amount which section 679 treats as having been paid from de minimis aggregate income.

(1B) In subsection (1A), “de minimis aggregate income” means aggregate income of an estate which is treated as bearing income tax at 0% because of section 680(1A).]

(2) In this Chapter—

• “estate income” means the income treated under this Chapter as arising from an absolute, limited or discretionary interest in the whole or part of the residue of an estate, and

• “estate” means the estate of a deceased person (whether a UK estate or a foreign estate).

(3) Estate income is treated as income for income tax purposes.

(4) If different parts of an estate are subject to different residuary dispositions, those parts are treated for the purposes of this Chapter as if they were separate estates.

Textual Amendments

F1 S. 649(1A)(1B) inserted (6.4.2024 in relation to the tax year 2024-25 and subsequent tax years) by Finance (No. 2) Act 2023 (c. 30), Sch. 2 paras. 11(2), 14(3)(a)