deceased shall have been possessed of £100 and not above the value of Where such estate or effects shall be above the value of £500 and not above the value of £1,000. DUTY. At the rate of £1 for every full sum of £50, and for any fractional part of £50 over any multiple of £50: Donations mortis causâ comprised in voluntary settlements made subject to probate duty. Where such estate and effects shall be above the value of £1,000. At the rate of £1: 5s. for every full sum of £50, and for any fractional part of £50 over any multiple of £50: At the rate of £3 for every full sum of £100, and for any fractional part of £100 over any multiple of £100. It is also provided that like duty shall be paid in respect and property of (a) any property taken as a donation mortis causâ made by any person dying on or after the 1st June, 1881, or taken under a voluntary disposition made by any person so dying, purporting to operate as an immediate gift, inter vivos, whether by way of transfer, delivery, declaration of trust or otherwise, which shall not have been bonâ fide made three months before the death of the deceased: (b) any property which a person dying on or after such day, having been absolutely entitled thereto, has voluntarily caused, or may voluntarily cause to be transferred to or vested in himself and any other person jointly,—whether by disposition or otherwise, so that the beneficial interest therein or in some part thereof passes or accrues by survivorship on his death to such other person: (c) any property passing under any past or future voluntary settlement made by a person dying on or after such day by deed or any other instrument not taking effect as a will, whereby an interest in such property for life or any other period determinable by reference to death is reserved either expressly or by implication to the settlor, or whereby the settlor may have reserved to himself the right by the exercise of any power to restore to himself or to reclaim the absolute interest in such property. If the voluntary instrument made liable to probate duty by the above enactment has paid the five shillings ad valorem settlement duty, such duty will be returned (9). administration sonal estate diction of The probate or administration duty is payable in respect only Probate or of such personal estate as at the time of the death of the de- duty payable" ceased is within the jurisdiction of the court. Consequently only on perproperty which at the death is in a foreign country is exempt within jurisfrom duty, although it may be subsequently brought into this court. country by the executor. Thus it has been held that French Government rentes and United States stock are exempt from duty (r), while on the other hand the duty has been held to attach to the securities of a foreign government which were in this country at the death of the deceased, and were marketable securities here transferable by delivery only (s). Indian Government notes on which interest is payable in London are bona notabilia in England (t). Whatever the executor receives virtute officii is liable to pro- Duty when bate duty. Thus if a person enters into a binding contract to proceeds of sell land, and such contract is completed after his death, duty is sale of land. payable on the purchase-money (u). But duty is not payable in respect of the proceeds of land directed to be sold either by the will of the deceased or by a deed made in his lifetime, and which remains capable of being revoked by him up to the time of his death. Thus, where a freehold estate was conveyed by H. to trustees upon trust by sale or mortgage to pay certain debts, and to pay the residue of the proceeds to H., his executors, administrators, and assigns, the land was sold after H.'s death, and it was held that no probate duty was payable in respect of the proceeds (x). But if A. conveys land to trustees in trust to sell and pay the proceeds to B., and B. dies before the sale, probate duty would clearly be payable by B.'s executor in respect Share of a partner in real estate subject to of such proceeds. And where land is devised in trust for sale, and there is a failure of the trusts so that the testator's heir takes the proceeds, such heir takes it as money, and on his death probate duty is payable on it, although the land still remains unsold (y). The share of a partner in real estate forming part of the partnership property is in equity personal estate, and liable as such probate duty. to probate duty (z). Desperate debts. Personalty disposed of under power. Where testator is domiciled abroad. No deduction heretofore made for debts Desperate and doubtful debts owing to the deceased are not liable to probate duty (a). Probate duty is payable in respect of personalty disposed of by a testator under a general power (b). Probate duty is payable in respect of the personalty in this country of a testator domiciled abroad (c). In making the necessary affidavit as to the value of the estate of the deceased, the executor or administrator has been heretofore not allowed to make any deduction for debts (d), except that return of duty since the 1st September, 1868, where leasehold estates were the in first instance, but to be got afterwards. But under Act of 1881, deduction may be made for debts and funeral expenses. sole security by way of mortgage for any debt owing from the deceased, the amount of such mortgage debt might be deducted (e). In all other cases an executor or administrator might obtain a return of probate or administration duty on showing that he had paid debts to such an amount as to reduce the value of the estate below the sum on which duty had been paid, but an application for this purpose must have been made within three years after probate, &c., except in special cases, when the time would be extended (ƒ). It is now provided by the Customs and Inland Revenue Act, 1881, section 28, that the executor or administrator may deliver with the affidavit a schedule of the debts due from the deceased to persons resident in the United Kingdom and the funeral expenses, and that for the purpose of the duty the aggregate (y) Attorney-General v. Lomas, L. R. 9 Ex. 29. (z) Forbes v. Steven, L. R. 10 Eq. 178; Attorney-General v. Hubbuck, 13 Q. B. Ď. 275. The case of Custance v. Bradshaw, 4 Hare, 315, which appears to decide the contrary, must be regarded as depending on its peculiar circumstances, and as no authority on the general question. (a) Moses v. Crafter, 4 C. & P. 524. (b) 23 Vict. c. 15, s. 4. (d) 55 Geo. 3, c. 184, s. 38. amount of such debts and expenses shall be deducted from the value of the estate. Legacy duty. By the stat. 55 Geo. 3, c. 184, as modified and altered by the Duties on legacies. Customs and Inland Revenue Acts of 1881 and 1888, the following duties are payable on legacies and successions to personal estates upon intestacies, viz.: For every legacy, specific, or pecuniary, or of £ s. d. any other description, given by any will or testamentary instrument of any person out of his or her personal or moveable estate. Also, for the clear residue (when devolving to one person), and for every share of the clear residue (when devolving to two or more persons) of the personal or moveable estate of any person (after deducting debts, funeral expenses, legacies, and other charges first payable thereout), whether the title to such residue, or any share thereof, shall accrue by virtue of any testamentary disposition, or upon a partial or total intestacy : Where any such legacy or residue, or any share of such residue, shall have been given or have devolved to or for the benefit of a child of the deceased, or any descendant of a child of the deceased, or to or for the benefit of the father or mother or any lineal ancestor of the deceased: If the legacy or residue or share of residue is But if the legacy or residue or share of residue (g) 44 Vict. c. 12, s. 41. No duty. per cent. VOL. II. L L Where any such legacy or residue, or any share of such residue, shall have been given or have devolved to or for the benefit of a brother or sister of the deceased, or any descendant of a brother or sister of the deceased Where any such legacy or residue, or any share of such residue, shall have been given or have devolved to or for the benefit of a brother or sister of the father or mother of the deceased, or any descendant of a brother or sister of the father or mother of the deceased Where any such legacy or residue, or any share of such residue, shall have been given or have devolved to or for the benefit of a brother or sister of a grandfather or grandmother of the deceased or any descendant of a brother or sister of a grandfather or grandmother of the deceased And where any such legacy or residue, or any share of such residue, shall have been given or have devolved to or for the benefit of any person in any other degree of collateral consanguinity to the deceased than is above described, or to or for the benefit of any stranger in blood to the deceased . And all gifts of annuities or by way of annuity, or of any other partial benefit or interest out of any such estate or effects as aforesaid, shall be deemed legacies within the intent and meaning of this schedule. £ s. d. per cent. 300 per cent. 5 0 0 per cent. 600 per cent. 10 0 0 Exemptions. Legacies and residues, or shares of residue of any such estate or effects as aforesaid, given or devolving to or for the benefit of the husband or wife of the deceased, or to or for the benefit of any of the Royal Family (g). (g) 55 Geo. 3, c. 184. |