Estate and Gift Duties Amendment Act 1966
Archived legislative commentary on Estate and Gift Duties Amendment Act 1966 from PIB vol 23 Jun 1965.
This commentary item was published in Public Information Bulletin Volume 23, June 1965.
General Power Of Appointment
In 1964 the definition of "General power of appointment" was widened to allow property to be included in the dutiable estate if the deceased had power to obtain or appoint or dispose of it, or to charge any sum of money upon it, for his own benefit.
Section 2. Postpones the date on which the 1964 amendment comes into force. The definition prior to the 1964 amendment will continue to apply to any powers of appointment given under a will when the testator died on or before 31 March 1967 or under any trust executed on or before that date.
Any person who has made a will containing a general power of appointment is recommended to consult his legal advisor to see whether that will needs amendment.
The Public Trustee, solicitors and Trustee Companies have this extra time to review the wills of clients known to have powers of appointment and to consider whether any changes are necessary.
Allowance For Debts
Debts owing by the deceased at his death are deducted from the total value of the estate. Contingent debts or debts incapable of being estimated are not allowed unless they become payable or capable of being estimated within 3 years from the date of death.
Section 3. Extends this three years limit to six years and brings it into line with other time limits in the act.
Valuation Of Land
Section 4. Brings valuations of land for estate and gift duty purposes into line with the practice for other duties. Its provisions are similar to those of section 4 of the Stamp Duty Amendment Act 1966 also referred to later in this bulletin.