Starke 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 of section 115(2).
Held: A site with farm buildings only is not within the definition of agricultural land in the section. Such buildings had to be proportionate in size and nature to the requirements of the farming activities: ‘If cottages, farm buildings and farmhouses which are occupied and used for the purposes of agriculture fall within the meaning of agricultural land it is difficult to see what the point is of the ‘character appropriate’ requirement in limb (3). If, however, cottages, farm buildings and farmhouses, together with any land occupied with them, are not within the expression ‘agricultural land or pasture’ but will constitute ‘agricultural property’ if used in connection with agricultural land or pasture provided that they are of a character appropriate to such agricultural land or pasture (that is, are proportionate in size and nature to the requirements of the farming activities conducted on the agricultural land or pasture in question) then it is possible to attribute a full meaning to that limb.’
‘Agricultural property’ for Inheritance tax purposes was restricted to pasture land which remained undeveloped.


Blackburne J


Gazette 30-Mar-1994, Times 24-Feb-1994, [1994] STC 295


Inheritance Tax Act 1984 115


England and Wales

Cited by:

Appeal fromStarke and another (Executors of Brown decd) v Inland Revenue Commissioners CA 23-May-1995
The deceased had owned a site of 2.5 acres on which were built a large farmhouse, and other outbuildings.
Held: The court identified the identify the three separate dimensions to the definition of agricultural property under the Act. The . .
CitedLloyds 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 . .
CitedLloyds 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 . .
Lists of cited by and citing cases may be incomplete.

Inheritance Tax

Updated: 20 May 2022; Ref: scu.89502