Can the residence nil-rate band be claimed, even if there is a nil-rate band legal charge registered against the property, in favour of the first spouse to die, which could be redeemed immediately post death from the deceased’s free estate?
The net equitable interest of the surviving spouse, when taking into account the NRB charge, is insufficient to make the full claim for the RNRB and transferrable RNRB.
Title to the property is held in the surviving spouse’s sole name. There is no charge referenced in the charges register, but there is a notice/restriction in the proprietorship register, preventing a disposition without recourse to the trustees of the NRB Will Trust.
The first spouse to die’s RNRB was unused when they died, and both gross estates are under the taper threshold.