CofT v Carter – High Court rules that ‘disclaimers’ of trust interests do not operate ‘retrospectively’ for tax purposes (arguably quite unfair)
The High Court held (on 6.4.22) that a beneficiary, who disclaimed their ‘default’ right to a trust’s income (on becoming aware of it) did not succeed in avoiding tax on the income they were entitled to and the end of the relevant year. ‘Disclaimer’ might ‘undo’ an equitable right, created unilaterally, but for equitable rights,…