|The nil rate band for cumulative chargeable transfers in the last seven years is £325,000 (unchanged since 6 April 2009). If one of a married couple/civil partnership did not use the full band on death, the unused proportion increases the nil band of the other spouse/partner. Gifts above that are charged at the following rates:|
|Inheritance Tax (IHT) on a deceased’s estate and on gifts within 7 years of death is generally payable at the end of six months after the month of death, but tax on the estate must be paid before probate is granted, and this may necessitate earlier settlement.|
IHT on chargeable lifetime gifts is payable on the later of six months after the month of transfer or 30 April in the next tax year.
|The following transfers are exempt from IHT:|
|Pre-owned assets tax|
|An income tax charge applies to certain arrangements which remove assets from an IHT-chargeable estate but allow the former owner to use or enjoy them.|