Taxation logo taxation mission text

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

A, B and CGT

A trust of property was intended but not evidenced in writing at purchase

B bought a property and put it in A’s name. With the benefit of hindsight B should have written a declaration of trust (see HMRC’s Trusts Settlements and Estates Manual at TSEM9520) saying that A is holding the property for B absolutely but did not.

The Capital Gains Manual at CG70230 explains that without documentary evidence to the contrary the legal owner is always presumed to be the beneficial owner.

This is particularly the case because anything relating to land in England and Wales must be in writing (CG14262). My question is whether it is helpful to write such a declaration of trust now some time after the oral “trust” was set up and will it be effective from the earlier date?

At TSEM9520 HMRC say “The trust will become enforceable from the date the declaration is executed but such...

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