Q&As

If a testator leaves an immediate post-death interest in one of their houses in their Will, would the value of the house be within the life tenant’s estate for inheritance tax and is there any tax relief from that inheritance tax?

read titleRead full title
Published on LexisPSL on 02/08/2019

The following Private Client Q&A provides comprehensive and up to date legal information covering:

  • If a testator leaves an immediate post-death interest in one of their houses in their Will, would the value of the house be within the life tenant’s estate for inheritance tax and is there any tax relief from that inheritance tax?

If a testator leaves an immediate post-death interest in one of their houses in their Will, would the value of the house be within the life tenant’s estate for inheritance tax and is there any tax relief from that inheritance tax?

The value of the house would be subject to inheritance tax (IHT) on the death of the testator, but if the house has been occupied by the testator as a residence prior to their death, the residence nil rate band may be claimed by their executors. If the life tenant of the immediate post-death interest (IPDI) created by the testator’s Will is the testator’s spouse or civil partner, then on the death of the life tenant, relief may be available in the form of a brought-forward allowance. For further detail, see Practice Note: IHT—residence nil rate band.

The value of the house would be chargeable to IHT on the death of the life tenant. For further details, see

Related documents:

Popular documents