Assent of property to beneficiaries of an estate [BDO-UK.FID3982792]

(jacqueline.thomson) #1

This may be an old question, but advice would be welcome, please! Executors wish to sell an estate property. The beneficiaries of the estate include a charity, and the individual beneficiaries have the CGT annual exemption available, so it makes sense to assent the property to the beneficiaries. Must this be done before exchange of contracts for the sale, or can the CGT advantages still be obtained if assent takes place after exchange but before completion?


(Paul Saunders) #2

Whilst I believe the safest option is to appropriate before contracts are exchanged, and for the beneficiaries to agree the sale price, other contributors are comfortable that an appropriation can validly be made after exchange, but before completion.

Whichever timing is chosen you need to ensure that if s.41 Administration of Estates Act 1925 applies (consent to appropriate) the necessary consents are obtained either before, or at the same time as, the appropriation.

Paul Saunders