1A

Subsection (1) is subject to subsections (2) and (2A).

2A

Where the liability arises by reason of a designation mentioned in the description of benefit crystallisation event 5C, it is a liability of the dependant or nominee (as the case may be).

3

Subsection (4) applies if—

a

two or more relevant post-death benefit crystallisation events occur in respect of an individual, and

b

tax is not chargeable on the whole of the total of the amounts crystallised by them.

4

The person liable under subsection (2) or (2A) to the lifetime allowance charge charged by reason of the occurrence of any one of the relevant post-death benefit crystallisation events is liable to such portion of the total amount of the tax payable by reason of the relevant post-death benefit crystallisation events having occurred as appears to an officer of Revenue and Customs to be just and reasonable.

4A

For the purposes of subsections (3) and (4), a benefit crystallisation event is a “relevant post-death benefit crystallisation event” if it is benefit crystallisation event 5C or 7.