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Contents

Legislation
Inheritance Tax Act 1984

CHAPTER IV TRANSFERS WITHIN THREE YEARS BEFORE DEATH

  • Section 131 The relief.
  • Section 132 Wasting assets.
  • Section 133 Shares—capital receipts.
  • Section 134 Payments of calls.
  • Section 135 Reorganisation of share capital, etc.
  • Section 136 Transactions of close companies.
  • Section 137 Interests in land.
  • Section 138 Leases.
  • Section 139 Other property.
  • Section 140 Interpretation.
  1. Chapter IV · TRANSFERS WITHIN THREE YEARS BEFORE DEATH
  2. Shares—capital receipts.

Section 133 | Shares—capital receipts.

From legislation.gov.uk

(1)If the transferred property consists of shares and at any time before the relevant date the transferee or his spouse or civil partner becomes entitled to a capital payment is respect of them, then for the purposes of section 131 above the market value of the transferred property on the relevant date shall (except where apart from this section it reflects a right to the payment) be taken to be increased by an amount equal to the payment.F1

(2)If at any time before the relevant date the transferee or his spouse or civil partner receives or becomes entitled to receive in respect of the transferred property a provisional allotment of shares and disposes of the rights, the amount of the consideration for the disposal shall be treated for the purposes of this section as a capital payment in respect of the transferred property.F1

(3)In this section “capital payment” means any money or money’s worth which does not constitute income for the purposes of income tax.

Notes

  1. F1

    Words in s. 133(1)(2) inserted (5.12.2005) by The Tax and Civil Partnership Regulations 2005 (S.I. 2005/3229), regs. 1(1), 26

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