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【Wealth Succession】JERSEY: Court approves large trust distribution intended for taxable donation to charity

The Jersey Royal Court has approved the distribution of GBP75 million from a family trust to the principal beneficiary in order to allow him to donate it to a charitable foundation (Representation of IQEQ Jersey re the May Trust). The judgment is unusual not only in the size of the distribution permitted, almost half the trust fund, but also in that the beneficiary proposed to deliberately incur a tax liability on the donation that could otherwise have been legitimately avoided. The court accepted the submissions, despite the 2006 England and Wales High Court precedent in X v A suggesting that a trust beneficiary could not have a moral obligation to benefit charity to an extent that exceeded their own personal means...

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