Annuity to spouse or civil partner: annuities of variable amounts
- by reference only to the initial amount of the annuity, and
- without regard to future changes
This view is based on the terms of IHTA84/S18 (1) and IHTA84/S18 (3). If this view is challenged you should refer the case to Technical, with a full statement of the facts, before becoming involved in a lengthy argument.
You should also refer cases of this type in which our view is accepted by the customer to Technical for noting. You should do this after the amount of the capital required to produce the annuity has been agreed. You should include a brief note of the facts.
This instruction on variable annuities:
- primarily concerns annuities to spouses or civil partners (IHTM11032) but is not confined to these alone. It applies to all cases where the quantification of the annuity affects the extent of an exemption, even though the annuity may not be payable to an exempt beneficiary
is confined to those cases where it is necessary to calculate the capital required to produce the annuity. It does not apply where, for example