Taxation logo taxation mission text

Since 1927 the leading authority on tax law, practice and administration

Court order

22 May 2012
Issue: 4354 / Categories: Forum & Feedback
A couple have divorced and, as part of the settlement, a single premium bond and cash ISAs are to be used to pay for their children’s university education and accommodation costs

As part of Mr and Mrs X’s divorce settlement the court order states that a single premium bond policy and associated cash ISAs and any income thereon should be used entirely for the equal benefit of the three children of the former marriage and specifically for no purpose other than to fund their university fees and accommodation costs while at university.

Any monies remaining are to be distributed to the children. The order also provides that Mr X will administer these monies in an effective and tax-efficient manner.

In 2009 the policy was valued at £100 000. To provide liquid funds monthly withdrawals began in September 2010 and are invested in the associated cash ISAs up to the investment limit with the remainder invested in a deposit account.

The policy cash ISAs and deposit account are all in Mr X’s name but following...

If you or your firm subscribes to, please click the login box below:

If you are not a subscriber but are a registered user or have a free trial, please enter your details in the following boxes:

Alternatively, you can register free of charge to read a limited amount of subscriber content per month.
Once you have registered, you will receive an email directing you back to read this item in full.

Please reach out to customer services at +44 (0) 330 161 1234 or '' for further assistance.

back to top icon