SCHEDULE 18Trusts

PART 6Interpretation

Meaning of “bare trust”

I1 19

In this schedule, a “bare trust”—

a

is a trust under which the property is held by a person as trustee—

i

for a person who is absolutely entitled as against the trustee, or who would be so entitled but for being under a legal disability by reason of non-age or under another disability, or

ii

for two or more persons who are or would be jointly so entitled, and

b

includes a case in which a person holds property as a nominee for another.

Meaning of “absolutely entitled”

I2 20

The references in paragraph 19 to a person being absolutely entitled to property as against the trustee are references to a case where the person has the exclusive right, subject only to satisfying any outstanding charge, lien or other right of the trustee—

a

to resort to the property for payment of duty, taxes, costs or other outgoings, or

b

to direct how the property is to be dealt with.

Meaning of “settlement”

I3 21

In this schedule, “ settlement ” means a trust that is not a bare trust.