CG32040 - Death and Personal Representatives: Non-retrospective variations: liaison with other offices

When the information about the non-retrospective variation is received by the office dealing with the estate, that office should advise the offices of the legatee and assignee that a non-retrospective variation has occurred at a time when the assets involved were vested in the personal representatives.

Where the variation

• is made for valuable consideration

• the office dealing with the legatee should be referred to CG31960+. It should be asked to ensure that the disposal by their taxpayer occurring on the date the variation was executed is dealt with in accordance with those instructions.

• the office dealing with the assignee should be referred to CG31971 and asked to ensure that the disposal by their taxpayer occurring on the date the assets vest is dealt with in accordance with those instructions. Where the date of vesting is already known this information should be provided.

• is not made for valuable consideration

• the office dealing with the legatee should be referred to CG32000 It should be asked to ensure that the disposal by their taxpayer occurring on the date the assets vest from the estate is dealt with. Where the date of vesting is already known this information should be provided.
• the office dealing with the assignee should be referred to CG32000 and asked to note that their taxpayer is to be treated as acquiring the assets involved on the date of vesting at their market value on that date. Where the date of vesting (and possibly also the market values on that date) is already known this information should be provided.

In either case the office dealing with the estate should provide the other office with all information relevant to the computation of the gain or loss arising on the disposal that is held.