Not governed by UK

Beryl Coulter was domiciled in Jersey at the date of her death. She left the residue of her estate to be held on trusts to “accumulate the income of the Coulter Trust and to distribute the Coulter Trust together with any accumulated income therefrom unto such incorporated body as may be set up by the Parish of St Ouen for the purpose of the provision of homes for the elderly of the parish”.

HMRC issued notices charging inheritance tax. The executors appealed claiming relief under IHTA 1994 s 23 (gifts to charities). Mrs Justice Rose gave permission for the appeal to be brought in the High Court rather than the First-tier Tribunal.

The court said an intended extension to the scope of the exemption to overseas trusts would have made clear by parliament in s 23(1). The Coulter Trust did not qualify for exemption under s...