Joint account

KEY POINTS

• Algebraic formula for calculating transfer
• Civil partnerships entered into abroad before 5 December 2005 are not included
• Detailed information to be available

The long debates over the changes to residence and domicile and the simplification of CGT have rather overshadowed the other major change which was announced in the 2007 pre-budget report — the ability for the survivor of married couples and civil partners to inherit the unused proportion of the nil rate band of the first to die.

Presumably the reason for the lack of attention is that the change is wholly positive for those that it affects.

HMRC have now issued draft guidance which will in due course be incorporated into the IHT manual explaining how the new rules should be applied.

Algebra

Like all modern provisions the relief is...