Q&As

This Practice Note outlines the enforcement routes available for implementing an order made under section 14 of the Trusts of Land and Appointment of Trustees Act 1996 ( TOLATA 1996). It describes the steps required after an order for sale where a party refuses to execute a conveyance, sets out the procedural path to be followed, and explains the approach on an application to commit for contempt of court. Section 14 TOLATA 1996 empowers the court to declare the nature and scope of an individual’s interest in property held on a trust of land and/or to direct a sale of that property. Either a trustee or a beneficiary of the property is entitled to bring such proceedings. See Practice Note: Eligibility to apply under TOLATA 1996. Order for sale TOLATA 1996, s 14 grants the court a discretion to make such orders as it...

Case law recognises multiple definitions of cohabitation. In relation to remedies open to cohabitants, the initial step is to demonstrate that the relationship is adequate to justify a particular remedy. The issue of whether cohabitation occurred may likewise arise on the breakdown of a marriage or civil partnership, eg when evaluating the relevance of pre-marital or pre-civil partnership cohabitation within financial proceedings as appropriate......

A court may order the payment of occupation rent where one beneficial co-owner moves out of a property and the other remains in residence, enjoying its use and advantages without sharing them during that period. Before the Trusts of Land and Appointment of Trustees Act 1996 ( TOLATA 1996), such matters were resolved by equitable doctrines labelled ‘equitable accounting’ or ‘equitable compensation’ by the courts. In Stack v Dowden, Baroness Hale explained that these equitable principles were superseded by TOLATA 1996, ss 12 and 13. Nonetheless, subsequent authorities still refer to those principles and pre- TOLATA 1996 case law; despite the shift to a statutory framework; and in Stack v Dowden itself, Baroness Hale indicated that the criteria in TOLATA 1996 should be applied rather than the old cases, though outcomes may often be the same in practice and frequently align. It is not necessary to prove an...

This Practice Note sets out guidance on case law concerning claims brought under the Trusts of Land and Appointment of Trustees Act 1996 ( TOLATA 1996), highlighting the leading authorities of Stack v Dowden and Jones v Kernott. It further reviews decisions addressing the welfare of any minor and also the position of any secured creditor of any beneficiary. See also Practice Note: Eligibility to apply under TOLATA 1996, on relevant matters for the court and on the court’s powers. For practice and procedure, refer to these Practice Notes: TOLATA 1996—pre-action matters TOLATA 1996—when to issue in the County Court and when to issue in the High Court TOLATA 1996—when to use Part 7 and when to use Part 8 TOLATA 1996—procedure TOLATA 1996— Part 36 offers Stack v Dowden The principal authority on disputes between cohabitants is Stack v Dowden, where the...

What is a grazing agreement? A grazing agreement is where a landowner permits a grazier to use the owner’s land to graze animals that belong to, or are under the care of, the grazier. Such arrangements are often put in place for the summer period ( April to October), but they can run for any length and at any time of year. Depending on the circumstances, the arrangement may amount to a licence or a tenancy. Status of grazing agreements under the Agricultural Holdings Act 1986 The Agricultural Holdings Act 1986 ( AHA 1986) provides security of tenure and other significant rights to anyone who holds a ‘contract of tenancy’ of ‘agricultural land’. ‘ Agricultural land’ covers land used for ‘agriculture’, and ‘agriculture’ expressly includes ‘grazing’ ( AHA 1986, ss 1, 96(1)). A ‘contract of tenancy’ is defined as a ‘letting of land, or...

What is a strict settlement? A strict settlement is an arrangement concerning land within the scope of the Settled Land Act 1925 ( SLA 1925). Some were crafted in highly intricate forms, developed by lawyers over centuries as a practical mechanism for preserving a family’s estate, while others were far more straightforward. Under the overall pattern of the 1925 property reforms, where land was held on trust it would generally be either governed by a strict settlement or placed on a trust for sale (though a few bare trusts of land sat outside both). The 1925 regime assumed that, for land intended to be kept for the long term, a strict settlement would be the usual vehicle. In reality, however, trusts for sale had, to a large extent, replaced strict settlements even before the Trusts of Land and Appointment of Trustees Act 1996 ( TOLATA 1996) was...

Regulatory regime overview Advertising in the UK is governed by legislation alongside self-regulatory industry codes, chiefly the UK Code of Non-broadcast Advertising and Direct & Promotional Marketing ( CAP Code) and the UK Code of Broadcast Advertising ( BCAP Code) (outlined below). Self-regulation plays a central role in the UK; however, broadcast advertising operates within a statutory framework under the Communications Act 2003 ( CA 2003). Marketers should also be mindful of sector-specific rules and codes. The principal laws addressing unfair or misleading commercial practices, which also inform the CAP and BCAP Codes, include: Chapter 1 of Part 4 and Schedule 20 to the Digital Markets, Competition and Consumers Act 2024 ( DMCCA 2024) The Business Protection from Misleading Marketing Regulations 2008 ( BPR 2008), SI 2008/1276 Consumer protection from unfair trading From 6 April 2025, Part 4, Chapter 1 of the DMCCA 2024 largely repealed the Consumer...

The Acceptance in Lieu ( Ai L) scheme enables those who are liable to UK inheritance tax ( IHT) to settle that charge by offering heritage property as full or part payment of the IHT due. To qualify, the property must be regarded as pre-eminent for its national, scientific, historic or artistic importance, and both HMRC and the Secretary of State must approve the application. As with other heritage property reliefs, the intention of the Ai L scheme is to ensure that pre-eminent heritage assets remain in the UK for the public benefit, rather than being sold to private dealers and/or taken out of the country. What property may qualify for the Ai L scheme In line with the conditional exemption from IHT, the Ai L scheme requires that the heritage property meets the qualifying criteria and is designated as...

The general anti-abuse rule (the GAAR): neutralises, by way of just and reasonable adjustments made by HMRC or the taxpayer, any tax advantage that would, absent the GAAR, arise from abusive tax arrangements; and has been in force since 17 July 2013 (the date of Royal Assent to the Finance Act 2013), except that, for National Insurance contributions, it has applied only from 13 March 2014. This Practice Note: describes the Finance Act 2021 measures that adapted the standard GAAR procedures for partnerships; explores the GAAR’s purpose; sets out when the GAAR applies and examines: the meaning of tax arrangements and tax advantages; the taxes within scope; what is “abusive” for GAAR purposes; and the GAAR penalty; outlines taxpayer safeguards built into the legislation; explains how the GAAR interacts with other...

Conditional relief from inheritance tax ( IHT) on a transfer of value of a qualifying asset is granted at the Treasury’s discretion, with applications evaluated by the relevant body, currently Arts Council England. The purpose, mirroring other heritage property reliefs, is to secure the retention of pre-eminent heritage objects within the UK and to safeguard them for the public good, rather than see them disposed of to private traders. For a transfer to secure conditional exemption, specified requirements must be satisfied and the owner (or another relevant person) must undertake to keep the item in good repair and to permit reasonable public access. Conditions for exemption to apply In order for conditional exemption to operate, the following must be satisfied: the property transferred must qualify (and be designated by the appropriate body) as pre-eminent for its national, scientific, historic or artistic interest, or, for land and...

Scottish GAAR The Scottish GAAR is intended to safeguard tax and public revenues by tackling artificial tax avoidance arrangements, and is designed to work in parallel with the targeted anti-avoidance rules embedded in the legislation that implements the devolved taxes. It has applied from 1 April 2015 and covers devolved taxes. A devolved tax is one designated as such by Part 4A of the Scotland Act 1998. The devolved taxes currently operating are land and buildings transaction tax ( LBTT) and Scottish landfill tax ( SLFT). Air departure tax, the aggregates levy and wild fisheries taxes are listed in Part 4A as devolved, but have not yet commenced, although the aggregates levy is anticipated to commence on 1 April 2026. The Scottish rate of income tax is not devolved; it remains administered by HMRC and falls outside the Scottish GAAR. Although the...

The Finance Act 2014 ( FA 2014) FA 2014 brought in accelerated payment notices ( APNs) and partner payment notices ( PPNs) to tackle tax avoidance by discouraging participation in avoidance arrangements, notably by stripping out any cashflow advantage. The regime is intended to deter taxpayers from joining avoidance schemes by removing the cashflow benefit that would otherwise be enjoyed whilst a dispute is ongoing or under appeal before FTT. In direct tax disputes where no APN has been served, HMRC frequently consents to a taxpayer’s request to defer collection of the contested sum until the First-tier Tribunal ( Tax Chamber) ( FTT) has determined the issue. Once an APN or PPN is issued, postponement of the disputed tax is not permitted and any existing postponement falls away. As a result, APNs or PPNs oblige taxpayers to settle the amount under challenge before their appeal is...

FORTHCOMING CHANGES : At Budget 2025, the government stated it will legislate via Finance Bill 2026 (also known as Finance ( No 2) Bill 2024–26) to introduce measures targeting promoters or enablers of marketed tax avoidance. The provisions are set out in Part 6 of the Bill (as introduced on 4 December 2025) and cover: updates to the DOTAS and DASVOIT civil penalty regime so that HMRC can issue DOTAS penalties directly, rather than seeking tribunal approval; a general prohibition on promoting marketed arrangements that have no realistic prospect of success, and a prohibition on promoting arrangements specified in universal stop regulations ( USRs). A breach of either prohibition would attract a range of sanctions, including publication, financial penalties and criminal prosecution; promoter action notices ( PAN). A PAN would require businesses to cease providing goods or services to promoters of tax avoidance where those goods or...

The general anti-abuse rule (the GAAR): neutralises, through just and reasonable adjustments made by HMRC or by the taxpayer, as appropriate any tax benefits that, absent the GAAR, would stem from abusive tax arrangements and schemes has been in force from 17 July 2013 ( Royal Assent to the Finance Act 2013 ( FA 2013)), save that, for National Insurance contributions ( NICs), it has only taken effect from 13 March 2014 This Practice Note discusses in detail: the nature and composition of the GAAR advisory panel and why it exists institutionally how the GAAR panel links with the GAAR guidance, together with the function, scope and authority of that guidance the effect of the GAAR panel’s opinions when applying the GAAR not just to the arrangements actually referred, but also to comparable...

The Ramsay principle (or Ramsay doctrine) Lexis+® UK Tax thanks Nigel Doran of Macfarlanes LLP for his input on an earlier version of this Practice Note. The views set out remain those of Lexis+® UK Tax. This Practice Note has since been reviewed and updated by Aparna Nathan, KC, Devereux Chambers. The Ramsay principle denotes a judicial approach to construing legislation in cases concerning tax avoidance. It originated with the House of Lords’ landmark ruling in WT Ramsay in 1981. The House of Lords restated the approach in BMBF v Mawson in 2004, and, as a result, some decisions describe the principle by reference to BMBF (or Mawson) rather than Ramsay. For consistency, this Practice Note, and related Practice Notes, use the term ‘ Ramsay principle’. In broad outline, the Ramsay principle can be summarised as: consider the...

STOP PRESS : Please note that the remittance basis of taxation will be abolished from 6 April 2025; see Practice Note: The abolition of the remittance basis of taxation from 2025–26. To promote lifetime philanthropic giving, the government enacted measures in the Finance Act 2012 ( FA 2012). Under these provisions, donors who gift pre-eminent property to appropriate institutions during their lifetime obtain a reduction in their UK tax liability. The relief is calculated as a percentage of the value of the donated object. For clarity, the scheme was initially termed ‘ Gifts of pre-eminent objects and works of art to the nation’, and Department for Culture, Media and Sport ( DCMS) guidance—both in December 2011 before FA 2012 came into force and in separate guidance when the scheme was ultimately launched—described it as the ‘ Cultural Gifts Scheme’. However, the Schedule in FA 2012 is titled ‘...

FORTHCOMING CHANGES : At Budget 2025, the government confirmed it will legislate via Finance Bill 2026 (also referred to as Finance ( No 2) Bill 2024–26) to introduce measures aimed at promoters or enablers of marketed tax avoidance. These proposals appear in Part 6 of the Bill, as introduced on 4 December 2025, and include: Updates to the DOTAS and DASVOIT civil penalty regime, enabling HMRC to issue DOTAS penalties directly without needing tribunal approval; A general ban on promoting marketed arrangements that have no realistic prospect of success, plus a ban on promoting arrangements identified in universal stop regulations ( USRs). Breaching either ban could trigger sanctions including publication, financial penalties, and criminal prosecution; Promoter action notices ( PAN), compelling businesses to stop supplying goods or services to tax avoidance promoters where those goods or services are used to promote avoidance and the promoter is in breach of a USR or a...

STOP PRESS relating to abolition of furnished holiday lettings relief : Announced at the Spring Budget 2024 on 6 March 2024, and with draft legislation published at the Autumn Budget on 30 October 2024, the government is abolishing the furnished holiday lettings regime. Subject to transitional provisions, the reforms will: apply the finance cost restriction to loan interest connected with these properties; remove capital allowances for new expenditure (with relief for replacement of domestic items available instead); withdraw access to trading business asset chargeable gains relief; and exclude this property income from relevant UK earnings when calculating maximum pension relief. From April 2025, income and gains from furnished holiday lettings will form part of a taxpayer’s UK or overseas property business and be treated accordingly. The measures are effective from 6 April 2025 for income tax and CGT, and from 1 April 2025 for corporation tax. See News...

When evaluating a general damages claim, the practitioner ought initially to refer to the Judicial College Guidelines (JCG)...

This Practice Note This Practice Note reviews mechanisms used in settling litigation. A Tomlin order consists of a consent order paired with a schedule. It operates to stay proceedings on terms that have been agreed. The provisions contained in the schedule may remain confidential. This Practice Note describes the scope of confidentiality attaching to the schedule and sets out how it differs from a standard consent order. Sample wording for a Tomlin order is included, alongside links to precedents, as well as guidance on court approval. It also addresses varying, setting aside and enforcing a Tomlin order, including the considerations the court will take into account when handling applications for each. Further guidance is provided on interpreting and applying the relevant provisions of the CPR; however, some courts and divisions impose very specific requirements for both drafting and approval, and for approaching the schedule and confidentiality issues. Accordingly, you must consider the particular rules and court guide provisions in the forum where your claim is proceeding when drawing up the Tomlin order...

Date [ date ] Parties [ name of Landlord ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Landlord) [ name of Tenant ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Tenant) [ [ name of Guarantor ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Guarantor) ] [ [ name of Mortgagee ] [ of OR incorporated in England and Wales (company registration number [ number ]) with its registered office at ] [ address ] (Mortgagee) ] Definitions Within this Deed, the terms below shall be interpreted as follows: [ Annual Rent • the annual sum reserved under the Lease; ] [ Insurance Rent • the Tenant’s share of the Landlord’s costs of insuring the Property (as set out in the Lease); ] Lease • the lease of the Property dated [ date ], entered into between (1) [ the Landlord OR [ name ...

I, [ name ], of [ address ], solemnly and sincerely state that: [ Matters to be verified, set out in numbered paragraphs ] I make this solemn statement in good conscience, believing it to be true, and pursuant to the provisions of the Statutory Declarations Act 1835. DECLARED at [ details ] this [ day ] day of [ month and year ] Before me ................................................................................ [ signature of the person before whom the declaration is made ] A [ commissioner for oaths OR [ solicitor OR [ insert other qualification ] ] authorised to administer oaths ]...