HL Deb 27 June 1989 vol 509 cc727-8WA
Earl Fortescue

asked Her Majesty's Government:

Why in the Finance Bill they are proposing to limit the circumstances under which beneficiaries of a will can arrange for it to be redistributed by instruments of variation; and

What alternative remedy they propose for the case of a will which is out of date at the time of death due to the testator having been senile for many years, following the proposed restrictions on instruments of variation.

The Parliamentary Under-Secretary of State, Department of Transport (Lord Brabazon of Tara)

The Government have withdrawn the Finance Bill proposal to limit the retrospective inheritance tax treatment of rearrangements of death estates. The matter will be considered further with a view to finding a more targeted measure to counter abuse of the present facility to change inheritance tax liabilities after death.