Routier & ors v HMRC [2019] UKSC 43

Wills & Trusts Law Reports | Spring 2020

C died in 2007 in Jersey, leaving her residuary estate on trust (the trust) for purposes that were agreed to have been exclusively charitable under English law. C directed in her will that the proper law of the trust was the law of Jersey. The appellants, who were domiciled in Jersey, were appointed to be C’s executors and the trustees of the trust. C’s estate included assets in the United Kingdom amounting to £1.7m. In 2010 the appellants retired as trustees (but not as executors) and were replaced by a UK resident trustee. C’s will was then amended so as to make the p...

v The Commissioners for HM Revenue & Customs
 Neutral citation: [2018] EWCA Civ 31

Wills & Trusts Law Reports | Summer 2018 #172


DS and IS were at all material times resident in the UK for tax purposes and were beneficially entitled to the income from MOH, an English property development company of which they were the shareholders and directors. On advice, they used a tax avoidance scheme that took advantage of the provisions of the 1955 UK-Isle of Man double tax treaty (DTT). These provisions exempted the industrial or commercial profits of an Isle of Man (IOM) enterprise, which could include a partnership, from UK tax unless it was engaged in trade or business in the UK through a permanent establis...