Malcolm Finney explains what a two-year discretionary will trust is and how it operates in practice.
On death, a person’s estate is distributed according to the provisions of the deceased’s will. In the event that the deceased has not made a will, the person is said to die intestate, and the intestacy rules will then dictate how the estate is to be distributed amongst certain beneficiaries.
For inheritance tax (IHT) (and capital gains tax), it is possible, after death, for certain post-death arrangements to be undertaken. Under such arrangements, a sort of fictional tax world is created, and in essence the provisions of a deceased’s will can be amended or changed (post-death); in reality, however, it is not possible for a deceased’s will to be changed.
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