Author: Brian Walsh (1998)

Brian Walsh, C.T.A.P.S.,TEP
Campbell Hooper
(From Issue 9, October 1998)

Mr Justice Blackburne delivered judgment in Re: Ratcliffe on the 19^th February 1999, and finally laid to rest the 1994 decision in Re Benham.  He restored to charities their full entitlement under wills, where they share residue with the testator’s family, friends or non-charitable bodies.  This has hopefully cleared the confusion that has reigned amongst the charity world and other areas following the decision in Benham in July 1994.

The Capital Taxes Office are to be applauded for their decision taken very early on to state that Benham only applied to its own facts.  The intention that can be attributed to most testators who direct an equal division between exempt and non-exempt beneficiaries is that those beneficiaries should receive equal amounts.  Before Benham it was assumed (correctly) that whilst that may be the testator’s intention, that intention would be defeated by S.41. IHT Act 1984.