Lloyds TSB Private Banking Plc (personal representative of Rosemary Antrobus deceased) v Inland Revenue (Capital Taxes); Re Cookhill Priory (No 2): LT 10 Oct 2005

LT TAX – Inheritance Tax – agricultural property relief – agricultural value – agricultural property – farmhouses – whether house occupied by ‘lifestyle’ farmer could be farmhouse – held bid of such person could not represent agricultural value – Inheritance Tax Act 1984 s 115(2) and (3)
George Bartlett QC : ‘a farmhouse for the purposes of section 115(2) is the house of the person who lives in it in order to farm the land comprised in the farm and who farms the land on a day to day basis. The agricultural value of the house in the present case therefore falls to be determined on the assumption that the perpetual covenant to be implied by virtue of section 115(3) would have prevented its use other than in this way. This would have excluded, therefore, the lifestyle purchaser whose principal reason for living in the house was the amenity afforded by it and by the land.’
George Bartlett QC The President and Mr N J Rose FRICS
[2005] EWLands DET – 47 – 2004
CitedInland Revenue Commissioners v Korner HL 19-Feb-1969
Income tax, Schedule D – D eduction – Farm ing – Maintenance, etc., expenditure on farm house – Whether expenditure for domestic purposes distinct from those of the trade – Income Tax A c t 1952 (15 and 16 Geo. 6 and 1 Eliz. 2, c. 10) 55. 124, . .
CitedLindsay v Commissioners of Inland Revenue 1953
The court was asked whether a building was a farmhouse for the purpose of deciding whether reliefs were available for capital expenditure. . .
See AlsoLloyds TSB Bank Plc (Antrobus Deceased) v Inland Revenue (No 1) SCIT 17-Oct-2002
SCIT INHERITANCE TAX – agricultural property relief – freehold house which was owned and occupied by the deceased – agreed that it was a farmhouse – whether it was of a character appropriate to the property – yes . .
CitedCommissioners of Inland Revenue v John M Whiteford and Son 1962
The farm was farmed by a father and son in partnership. They had both lived in the original farmhouse, but a new house was built to house the son. The issue was whether the new house was a farmhouse or an agricultural cottage. If it was a cottage . .
CitedDuke of Buccleuch v Inland Revenue Commissioners HL 1967
When a valuation was to be attributed to a property the test must be applied to the property as it actually existed and not to some other property, even if in real life a vendor would have been likely to make some changes or improvements before . .
CitedStarke and Another (Executors of Brown Deceased) v Inland Revenue Commissioners ChD 24-Feb-1994
Mr Brown, the deceased, had owned a site on which was built a substantial farmhouse, with six bedrooms, and various outbuildings. The site formed part of a farm and the issue was whether the site was ‘agricultural land or pasture’ within the meaning . .
CitedProsser v The Commissioners of Inland Revenue SCIT 12-Mar-2003
INHERITANCE TAX – interest on outstanding tax – whether not due on account of Human Rights points – interest due. . .
CitedHigginson (Executors of) v Inland Revenue SCIT 3-Sep-2002
Inheritance Tax Act 1984, s.115(2) – Agricultural relief – ‘Farmhouse’ . .
CitedDixon v Inland Revenue Commissioners SCIT 22-Oct-2001
SCIT INHERITANCE TAX – relief for agricultural property – cottage with garden and orchard extending to 0.6 acres – whether activities were agriculture – whether orchard and garden were agricultural land or . .
CitedInland Revenue Commissioners v Stenhouse’s Trustees 1992
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These lists may be incomplete.
Updated: 25 January 2021; Ref: scu.231288