My client inherited his spouse’s estate and set up a lifetime discretionary trust with £X for the benefit of his grandchildren. There was no deed of variation and the death is now more than two years ago. A deed of gift was executed to
transfer the funds into trust. The actual transfer did not take place immediately and the funds were in fact paid into the trust bank account over several instalments some 2/3 years later. In the meantime, the funds remained in the Executor’s account (he was
not an executor).
Is the date of the CLT the date that the deed was executed or can it be argued that the gift was not perfected until the funds were actually transferred (which is preferable)? If the latter is possible, but my client’s mental capacity was
questionable prior to the final transfers, he cannot sign the IHT100. Can the trustees sign?
Simpson Wreford LLP