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#equity #law #secret-trust
Another example: in Davies v HMRC [2009] UKFTT 138 (TC), on the death of Mrs Goodman, her estate was assessed by HMRC as chargeable to inheritance tax. Her daughters argued that part of the estate was not chargeable as it had been given to Mrs Goodman on their father's death on fully secret trust, and thus did not form part of her estate. The judge acknowledged that in principle a secret trust could be imposed in such circumstances, but found that in this particular case, no duties of trusteeship had been imposed upon Mrs Goodman. She may have wanted to benefit her daughters, but this did not arise from any legally enforceable secret trust arrangement.
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