The sound of jazz

KEY POINTS

• Aspects of entrepreneurs' relief are discussed
• Rent will restrict relief but not pre-April 2008
• The transferable inheritance tax nil-rate band
• The interaction of IHT and estate duty

The fifth sitting of the Public Bill committee's consideration of the Finance Bill 2008 continued with a consideration of Schedule 3 relating to entrepreneurs' relief.

Mr Philip Hammond (Conservative) was concerned as to whether a defeasible life interest in an interest in possession qualified for the new relief.

The Financial Secretary Jane Kennedy confirmed that 'the fact that a defeasible life interest may be terminated at some point does not render it an interest for a fixed term'. It would therefore qualify for the relief.

The next amendments moved by Mr Hammond dealt with the question of associated disposals. Both he and Mr Hosie (SNP) were concerned...