Jon Golding questions whether deeds of variation are the solution to omitted tax planning and reveals obstructions in securing desired results.
Deeds of variation (DoV), often known as 'deeds of family arrangement', are instruments that can vary a will, and must indicate the items of the will that are to be varied and their revised destination.
A DoV can also apply in cases of intestacy (i.e., where the deceased dies without a will) and also in situations of property passing on 'survivorship'. However, where applications are made under the Inheritance (Provision for Family and Dependants) Act 1975, it is not possible to make variations to affected property.
Election provisions
The statutory tax legislation for this relief for inheritance tax purposes is IHTA 1984, s 142, and for capital gains tax purposes is
