The court was asked as to a taxpayer’s entitlement to tax allowances under section 314 of the 1952 Act, and whether, for the purposes of the legislation, a transfer by the taxpayer into trust of a farm and the simultaneous grant by the trustees to him of a lease resulted in the whole of the taxpayer’s interest in the land being transferred to another person (which would have disentitled him to his tax allowance) or operated to reduce his interest from ownership of a freehold to ownership of a lease.
Held: Megarry J took the latter view. He said that the taxpayer’s interest had uno ictu merely been reduced from ownership of the freehold to ownership of a lease. The effect of the transaction was that the taxpayer’s interest had been reduced from ownership of the freehold to ownership of a lease.
Judges:
Megarry J
Citations:
[1969] 3 All ER 1072, [1969] 1 WLR 951
Statutes:
Jurisdiction:
England and Wales
Cited by:
Cited – Cook v The Mortgage Business Plc CA 24-Jan-2012
The land owners sought relief from possession orders made under mortgages given in equity release schemes: ‘If the purchaser raises all or part of the purchase price on mortgage, and then defaults, the issue arises whether the mortgagee’s right to . .
Cited – Scott v Southern Pacific Mortgages Ltd and Others SC 22-Oct-2014
The appellant challenged a sale and rent back transaction. He said that the proposed purchaser had misrepresented the transaction to them. The Court was asked s whether the home owners had interests whose priority was protected by virtue of section . .
Lists of cited by and citing cases may be incomplete.
Income Tax, Land
Updated: 03 November 2022; Ref: scu.450473
