This site uses cookies. By continuing to browse the site you are agreeing to our use of cookies. To find out more about cookies on this website and how to delete cookies, see our privacy notice.

Property in the deceased’s estate: IHT reliefs and exemptions

By Meg Saksida, October 2020

Meg Saksida considers various ways property can be protected from IHT in the death estate. 

The main residence, although exempt for capital gains tax, is not exempt for inheritance tax (IHT) purposes. Usually, it will be taxed at 40% of the probate value at the date of death.  

Residence nil rate band 

However, the Conservative party election manifesto in 2015 promised to “take the family home out…[of IHT] with a new transferrable main residence allowance of £175,000 per person”. This was indeed introduced, and the ‘residence nil rate band’ (commonly known as the ‘RNRB’) was born. The RNRB is able to be claimed for deaths from 6 April 2017. Although the band was gradually phased in over four years starting with £100,000, the current and future tax years will have the full

This is one of our 1955 Premium articles

To see this article in full and unlock access to our complete library of 1955 articles click 'subscribe & unlock' below:

Subscriptions include a 14 day free trial
+ money back satisfaction guarantee

Begin your tax saving journey today

Each month our tax experts reveal FREE tax strategies to help minimise your taxes.

To get Tax Insider tips and updates delivered to your inbox every month simply enter your name and email address below:

Thank you for signing up to hear from us!