Who benefits?

In (1) Antony Stow (2) Richard Stow (3) Alhaji Ahmed v (1) Zoe Stow (2) Comissioners for HMRC (3) Estate of Edward Stow (4) Gareth Stow [2008] WTLR 1103 the third defendant (E) and the third claimant (K) were business colleagues. K settled assets on trust (the B Trust) and later used those funds to create a further six settlements (the N settlements). HMRC contended that the B Trust was a sham and E had provided the assets, therefore making E the settlor of the N settlement for tax purposes. HMRC issued notices of determination of tax on the trustees of the N settlement in the amount of £20m.

In 2005, E died leaving an estate of about £5m. E's wife, the first defendant (Z), was indicating an intention to claim under the Inheritance (Provision for Family and Dependants) Act 1975 against both E's estate, and the trustees under s 10. The first and second claimants, (A) and (R), and the fourth defendant (G) were trustees of the N