Query Regarding Transfer of Remaining Assets After Death with a Valid Will
The client passed away in June 2022, leaving an estate valued at £350,000. The Will included provisions for two trusts: a Discretionary Trust and an Interest in Possession Trust. The deceased had created a deed of appointment within the Will and added another trustee. However, it has come to light that these trusts were not in existence at the time, rendering them invalid from my understanding.
After the client’s death, the executors created a deed of appointment, utilising the first trust and appointing £25,000 to the surviving spouse. This deed was signed by all trustees, including the newly appointed trustee. However, it appears that this deed of appointment may also be invalid as it was signed by a invalid trustee.
Given that more than two years have passed since the client’s death, how would you a potentially rectifying this issue without causing any Inheritance tax. In addition would it be possible to transfer the remaining assets to the Interest in Possession Trust, despite the two-year mark having passed?