PART 5England and Wales, Scotland and Northern Ireland

Amendment of the Inheritance Tax Act 19847.

(1)

The Inheritance Tax Act 198410 is amended as follows.

(2)

In section 74(4) (pre-1981 trusts for disabled persons), at the end of paragraph (c), insert—“, or

(d)

is in receipt of pension age disability payment which is a category of disability assistance specifically for older people given in accordance with regulations made under section 31 of the Social Security (Scotland) Act 201811.”.

(3)

In section 89A (self-settlement by person expected to fall within the definition of “disabled person”)12—

(a)

in subsection (5)—

(i)

omit the “and” at the end of paragraph (c);

(ii)

at the end of paragraph (d), insert—“, and

(e)

that there will be no provision made by regulations under section 31 of the SS(S)A 2018 for the non-satisfaction of eligibility criteria for pension age disability payment in respect of any period when A is undergoing treatment for renal failure in a hospital or similar institution otherwise than as an in-patient.”; and

(b)

in subsection (8), after the definition of “disability assistance”, insert—

““pension age disability payment” means a category of disability assistance specifically for older people,”.