Pre-owned asset tax

In the United Kingdom, Her Majesty's Revenue and Customs acted against certain inheritance tax (IHT) avoidance schemes by imposing a standalone income tax charge.

The tax was introduced in the Finance Act 2004 and came into effect from 6 April 2005.

POAT applies where an individual disposes of an asset but somehow retains the ability to use or enjoy it.

POAT is never applicable when IHT is; therefore, the media and public have granted the issue little attention.

[citation needed] This tax-related article is a stub.