Answers to some of the most frequently asked questions about inheritance tax:What is inheritance tax (IHT)? What is the current rate of IHT? What is the ‘main residence’ allowance? How do I include the residence nil-rate band in my inheritance tax calculation? Who pays the IHT bil...
The tax rates information that will be given in the tax rates and allowances section of the exam in the period 1 June 2021 to 31 March 2022 is: Nil rate band £325,000 Residence nil rate band £175,000 Rates of tax on excess –Lifetime rate –Death r...
enabling up to £325,000 of an estate to be passed on without having to pay any IHT. There is also a residence nil rate band worth £175,000 which allows most people to pass on a family home more tax efficiently to direct descendants. However, this tapers for estates ...
This process, known as ‘fiscal drag’ means that more people are becoming liable for inheritance tax." "The introduction of the main residence nil rate band in 2017 had led to fewer estates being liable for IHT. However, the average tax bill has increased steadily year-on-year and the ...