Inheritance tax

166 Posts


Hi
Bit confused over Inheritance tax, and hoping some kind folk could help me. I have been told that a husband can leave spouse any amount of assets free from Inheritance tax, and vice versa. Does this mean their personal £325k and extra £175k allowances are transferable in total to spouses? On death of second person they could have tax free allowances of £500k (from death of first person) plus £325k of their own, with extra £175k if leaving residence to their children? This could mean tax free allowance of £1 million or £825k if no children involved?
Is this how it works? I fear i may be an executor for an aunt and uncle and want to make sure i pay the ITax correctly.
Thank you.
Bit confused over Inheritance tax, and hoping some kind folk could help me. I have been told that a husband can leave spouse any amount of assets free from Inheritance tax, and vice versa. Does this mean their personal £325k and extra £175k allowances are transferable in total to spouses? On death of second person they could have tax free allowances of £500k (from death of first person) plus £325k of their own, with extra £175k if leaving residence to their children? This could mean tax free allowance of £1 million or £825k if no children involved?
Is this how it works? I fear i may be an executor for an aunt and uncle and want to make sure i pay the ITax correctly.
Thank you.
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on death of second, the total nil rate will be £650k and everything above this is 40%?