A GIFT WITH RESERVATION …IS WHEN AN ASSET IS GIFTED DURING THE DONOR’S LIFETIME BUT HE/SHE STILL RETAINS FULL USE AND CONTROL OF THE ASSET, SUCH AS PARENTS GIVING CHILDREN THEIR HOMES. AS INTEREST IN POSSESSION INLAND REVEVNUE VIEWS THIS AS OWNERSHIP AND THE VALUE IS ADDED TO THE ESTATE FOR INHERITANCE TAX PURPOSES.
CODICIL …IS A LEGAL DOCUMENT THAT AMENDS, RATHER THAN REPLACES, A WILL. IT HAS ALL THE LEGAL REQUIREMNETS OF THE WILL INCLUDING A TESTIMONIUM CONTAINING SIGNATURES OF TESTATOR/TESTATRIX AND WITNESSES.
