Words / R / Law

reservation of benefit

noun

C2CEFR level
92/100Rarity: very rare
TechnicalRegister

A donor's retention of some enjoyment of gifted property, which keeps it within the donor's taxable estate.

Giving away the house but continuing to live in it rent-free is a textbook reservation of benefit.

Similar: gift with reservation

Topic: Tax law in Legal English

Rarity runs from 0 (a word everyone knows) to 100 (almost never seen outside specialist or literary writing). Level is the word's real difficulty on the CEFR scale, from A1 to C2.

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More law words: Tax law