Inheritance Tax Act 1984 section 79A

Variation of undertakings

Section 79A provides a mechanism for varying the undertakings given in connection with conditionally exempt property of national, scientific, historic, or artistic interest, including a route for HMRC to seek a tribunal direction where agreement cannot be reached.

• Undertakings given in respect of conditionally exempt transfers or the ten-yearly settlement charge may be varied at any time by agreement between HMRC and the person bound by the undertaking.
• If the person bound by the undertaking fails to agree to a variation proposed by HMRC within six months, HMRC may apply to the tribunal, which can direct that the variation takes effect if it considers this just and reasonable in all the circumstances.
• Any date specified by the tribunal for the variation to take effect must be at least 60 days after the date of the tribunal's direction.
• A tribunal direction is overridden if, before the specified date, HMRC and the person bound by the undertaking reach agreement on a different variation.