Inland Revenue v. Shiels' Trustees

The Income Tax Act 1842 (5 and 6 Vict. cap. 35), sec. 41, enacts—“The trustee, guardian, tutor, curator, or committee of any person, being an infant … and having the direction, control, or management of the property or concern of such infant … shall be chargeable to the said duties in like manner and to the same amount as would be charged if such infant were of full age.…”

The Commissioners allowed the appeal, and Cecil Fry, Surveyor of Taxes, Edinburgh, appellant , having expressed dissatisfaction with their determination as being erroneous in point of law, stated a Case for appeal.

The Case, inter alia , stated—The following facts were admitted or proved:—1. The said business originally belonged to the late Mr Sidey Shiels. He died on the 17th November 1906, leaving a trust-disposition and settlement dated the 5th day of July 1900, by which he assigned and disponed to the trustees therein named the whole estate, heritable and moveable, real and personal, belonging to him at his decease.

The trustees were empowered to apply the whole or any part of the income of the prospective share of a minor for or towards his or her maintenance or education, with liberty to pay the same to the guardians or guardian of such minor for the purposes aforesaid. His said estate included the business aforesaid, and his trustees were given power under the said trust disposition and settlement to carry it on for such time and on such conditions as they might think fit.

Isabella Pyper Millons or Shiels died on the 16th day of January 1903. Frances Elizabeth Shiels still survives.