Succession Act 1965 section 118

Estate duty

Section 118 requires that property received as a legal right share or under a court order for provision for children must bear its fair share of any estate duty payable on the deceased's estate.

• Property representing a person's legal right share must contribute to estate duty proportionately.
• Property awarded under a court order for proper provision for children (section 117) is similarly liable.
• The share of estate duty borne is calculated as a due proportion of the total duty on the estate.
• This ensures that estate duty is spread fairly across all property passing from the deceased, rather than falling disproportionately on the residuary estate.