§ Mr. WEDGWOODasked whether it is possible to evade the payment of Death Duties by the surrender of a life interest to the remainderman; and whether such surrender can be made within twelve months of the death of the life tenant and yet exempt the estate?
§ Mr. HOBHOUSEIf a life interest is surrendered to the remainderman, a claim for Estate Duty only arises in respect of the property surrendered, if the life tenant dies within three years. Liability to Legacy or Succession Duty is unaffected by such surrender.