IHTM25101 - Valuing the partnership interest: Introduction
If there are any partnership articles you should check them for any provisions which say how the value of a partnership share is to be calculated on the death of a partner.
If the articles do not provide for the death of a partner or they state that the value of the deceased바카라 사이트™s share is to be calculated by reference to open market values, then the open market value of the deceased partner바카라 사이트™s share is required, IHTA84/S160.
The articles may contain provisions restricting a partner바카라 사이트™s ability to dispose of his share as he wishes. Such a restriction is called a 바카라 사이트˜fetter바카라 사이트™ (IHTM25120).
The open market value of the partner바카라 사이트™s share is also required where there are no partnership articles. In this case the Partnership Act 1890 provides that the partnership is dissolved on a partner바카라 사이트™s death, so the deceased바카라 사이트™s personal representative (IHTM05012) is entitled to be paid the value of his share (in practice the other partners may pay over the value of the deceased바카라 사이트™s share and continue to run the business).