SP 4/94 ENHANCED STOCK DIVIDENDS RECEIVED BY TRUSTEES OF INTEREST IN POSSESSION TRUSTS
[17 May 1994]
1. This Statement of Practice sets out HM Revenue and Custom’s views on the tax treatment of enhanced stock dividends received by trustees of trusts in which there is an interest in possession – that is, trusts where one or more beneficiaries have a right to the whole of the income of the trust as it arises. Paragraphs 19–20 deal with the position of Scottish trusts.