3(1)Section 8E (residence nil-rate amount: interest in home goes to descendants etc) is amended as follows.U.K.
(2)In subsection (6), after “(7)” insert “ and sections 8FC and 8M(2B) to (2E) ”.
(3)In subsection (7), for paragraphs (a) and (b) substitute—
“(a)the person's residence nil-rate amount is equal to VT,
(b)where E is less than or equal to TT, an amount, equal to the difference between VT and the person's default allowance, is available for carry-forward, and
(c)where E is greater than TT, an amount, equal to the difference between VT and the person's adjusted allowance, is available for carry-forward.”
(4)In subsection (8)—
(a)before the entry for section 8H insert— “ section 8FC (modifications of this section where there is entitlement to a downsizing addition), ”, and
(b)in the entry for section 8H, after “ “qualifying residential interest”” insert “, “ qualifying former residential interest ” and “residential property interest” ”.