IHTM14392 - Lifetime transfers: gifts with reservation (GWRs): settled property: reversionary interests

In the case where a gift is made into trust, the retention by the settlor (donor) of a reversionary interest under the trust is not considered to constitute a reservation, whether the retained interest arises under the express terms of the trust or it arises by operation of general law, e.g. resulting trust.

Example

Alan makes a gift into trust for his children on terms that either

  • expressly declare that the trust fund should revert to Alan if the children die before attaining a specified age, or
  • fail to declare what should happen to the trust fund after the children바카라 사이트™s death so that the assets would be held on resulting trust for Alan.

In neither case is there a GWR.