Pre-owned asset tax
Introduction 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.This has become known as '''pre-owned assets tax '''(POAT). 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. POAT is also a retroactive tax: even if an action had no IHT repercussions at the time, POAT may be applied years after the action.
External links *  HMRC page on Income tax and pre-owned assets*  Article explaining basic features of the tax