Trustees of the P Panayi Accumulation and Maintenance Trusts Nos 1-4 v HMRC

In Trustees of the P Panayi Accumulation and Maintenance Trusts Nos 1-4 v HMRC [2019] UKFTT 622 (24 October 2019) the FTT found that the Taxation of Chargeable Gains Act (TCGA) 1992 s 80 (exit charge) was in breach of EU law and should be given a conforming interpretation.

Mr Panayi was born in Cyprus. He moved to the UK as a child in the late 1940s. He lived and worked in the UK after that date. His wife was also Cypriot and she moved to the UK on their marriage. In 1992 Mr Panayi established four accumulation and maintenance trusts for the benefit of his children and others of his family. Then in 2004 Mr and Mrs Panayi decided to return to live in Cyprus. To that end Mr and Mrs Panayi resigned as trustees of the four settlements and in their place Mr Panayi...