»Ê¹ÚÌåÓýapp

»Ê¹ÚÌåÓýappre is a statutory definition of this term in ITTOIA/S650(2) for non-corporate beneficiaries, and in CTA 2009/S935(2) for corporate beneficiaries. A beneficiary has a limited interest in residue if they are entitled to receive the income but not the capital of the residue (or a share of the residue) of an estate.

Often the beneficiary will be entitled to receive the income during their lifetime. »Ê¹ÚÌåÓýapp beneficiary is then called a life tenant. In Scotland, the term is liferenter. »Ê¹ÚÌåÓýappre are other types of limited interest. For instance the beneficiary may be entitled to the income during the lifetime of another person or until the happening of a particular event.

»Ê¹ÚÌåÓýapp tax rules are the same no matter how the limited interest arises. »Ê¹ÚÌåÓýappre will always be a trust involved.