Income Tax (Trading and Other Income) Act 2005
2005 CHAPTER 5
Commentary on Sections
Part 5: Miscellaneous income
Chapter 6: Beneficiaries’ income from estates in administration
Section 652: Estate income: absolute interests in residue
2499.This section sets out the basis on which estate income is treated as arising in a tax year in the case of absolute interests in residue. It is based on section 696 of ICTA.
2500.Subsections (2) and (3) set out the relevant conditions. A payment need not be made in the final tax year because the net amount of estate income in that year is always equal to the assumed income entitlement for that year. Under section 696(5) of ICTA, taxing a person with an absolute interest in a residuary estate depends on whether the person receives payments and, in the final year of administration, on a fictional payment under that section. The same effect is achieved in this section by determining the liability by considering the assumed income entitlement in all years. Assumed income entitlement is dealt with in section 665.
- Blaenorol
- Nodiadau Esboniadol Tabl o’r Cynnwys
- Nesaf
