Inheritance Tax Act 1984 section 27

Maintenance funds for historic buildings, etc.

Section 27 provides an inheritance tax exemption for transfers of value into maintenance fund settlements established for the upkeep of historic buildings, land of scenic, scientific or historic interest, and associated objects.

• A transfer of value into a maintenance fund settlement is exempt from inheritance tax provided the fund is the subject of a Treasury direction under Schedule 4 of the Act, either at the time of transfer or given afterwards.
• If the Treasury direction is given after the transfer, the exemption only applies if the claim for the direction is made within two years of the transfer date, unless HMRC allows a longer period.
• The exemption is subject to the same restrictions that apply to gifts to charities and political parties, including rules preventing the property from being used by a connected person or for purposes other than the maintenance fund's activities.
• Additional restrictions apply in specific circumstances, such as where the maintenance fund trustees settle an estate claim from non-estate assets, where the gift is in consideration of a reversionary interest, or where the property was previously comprised in another settlement.