Inheritance Tax

Chargeable transfers
Death rate
%		 Lifetime rate
%		 2008/09
£’000		 2007/08
£’000
Nil Nil 0 – 312 * 0 – 300 *
40 20 Over 312 * Over 300 *
*
Potentially increased for surviving spouses or civil partners who die on or after 9 October 2007.
Reliefs
Annual exemption £3,000 Marriage Parent £5,000
Small gifts £250 Grandparent £2,500
Bride/Groom £2,500
Other £1,000
Reduced charge on gifts within seven years of death
Years before death 0-3 3-4 4-5 5-6 6-7
% of death charge 100 80 60 40 20