Updates: Inheritance Tax Manual

2024

26 November 2024

Section 7: revenue basis of market value - general principles

Subsection on Hindsight has been updated.

2023

17 October 2023

Section 16: shares and assets valuation

Text under section '16.1 Shares and Assets Valuation' has been changed slightly.

12 July 2023

Section 2: Property Valuation Process

Updated section slug from guidance/inheritance-tax-manual/section-2-the-evolution-of-iht-estate-duty to guidance/inheritance-tax-manual/section-2-property-valuation-process

2022

30 June 2022

Section 12: Reliefs for Loss on Sale of Land After Death

Section 12: Reliefs for Loss on Sale of Land After Death has been updated.

Section 15: related property

Section 15: related property has been updated.

Appendix 28: related property

Appendix 28: related property has been removed due to redundant information.

14 April 2022

Section 26: reference of cases to the VOA

Section 26: reference of cases to the VOA has been removed.

Section 27: general procedures

Section 27: general procedures has been removed.

Section 37: appeal cases

Section 37: appeal cases has been removed.

Appendix 2: VOA 1 request for initial VOA case approval

Appendices 2, 3, 3A, 4, 8, 9, 10, 11, 12, 13, 14, 17, 18, 19, 21, 22, 23, 24, 25, 26 and 27 have been removed.

13 April 2022

Section 2: Property Valuation Process

All of the content in this section has been updated.

2021

1 September 2021

Appendix 1: RESERVED

The content on Appendix 1 has been reserved.

24 August 2021

Section 1: Overview of IHT

All content was updated.

Section 2: RESERVED

This section's content was out of date and has been reserved.

Section 3: RESERVED

This section's content was out of date and has been reserved.

2020

18 June 2020

Section 31: prior agreement

This section is no longer required.

Appendix 15: form VO 1140 - prior agreement form

This section is no longer required.

2017

5 May 2017

Section 1: general introduction

New section added.

Section 2: the evolution of IHT estate duty

New section added.

Section 4: transfer of value in life and on death

New section added.

Section 3: general provisions

New section added.

Section 5: relation to other Capital Taxes

New section added.

Section 7: revenue basis of market value - general principles

New section added.

Section 6: exemption

New section added.

Section 8: settled property

New section added.

Section 9: agricultural property

New section added.

Section 11: relief for business property

New section added.

Section 10: woodlands

New section added.

Section 12: falls in value and other relief for sales of land within four years after death and following vompulsory acquisitions

New section added.

Section 13: transfer within seven years before death relief for falls in market value

New section added.

Section 14: liability of spouse or civil partner for transferor's tax including relief for falls in market value

New section added.

Section 15: related property

New section added.

Section 16: shares and assets valuation

New section added.

Section 17: valuation of property subject to a land charge following an RTB discount or a renovation grant

New section added.

Section 18: undivided shares

New section added.

Section 19: partnership property

New section added.

Section 20: national heritage property

New section added.

Section 25: lotting of Items

New section added.

Section 26: reference of cases to the VOA

New section added.

Section 27: general procedures

New section added.

Section 31: prior agreement

New section added.

Section 37: appeal cases

New section added.

Practice Note 1: valuations for revenue purposes

New section added.

Practice Note 1: appendix A - Duke of Buccleuch v Commissioners of Inland Revenue (1967) IAC 506

New section added.

Practice Note 1: appendix B - Earl of Ellesmere v Commissioners of Inland Revenue, (1918) 2 KB 735

New section added.

Practice Note 1: appendix C - Lynall v Commissioners of Inland Revenue (1972) AC680

New section added.

Practice Note 1: appendix D - Commissioners of Inland Revenue v Clay and Another (Plymouth case), (1914) 3 KB 466

New section added.

Practice Note 1: appendix E - Alexander v Inland Revenue Commissioners (1991)

New section added.

Practice Note 1: appendix F - Inland Revenue Commissioners v Gray (Executor of Lady Fox deceased) (1994)

New section added.

Practice Note 2: undivided shares

New section added.

Practice Note 3: valuation of interests encumbered by tenancy or licence, the nature of encumbrance- law as at July 1994

New section added.

Practice Note 4: agricultural tenancies

New section added.

Part 1: a summary of relevant legislation (1) agricultural holdings

New section added.

Part 2 : a summary of relevant legislation (2) agricultural dwellings

New section added.

Part 3: essentials of a tenancy

New section added.

Part 4: security of tenure

New section added.

Part 5: rent reviews

New section added.

Practice note 6: full consideration in money or money's worth

New section added.

Practice note 10: agricultural relief - Inheritance Tax

New section added.

Practice note 10: part 1 - identification of agricultural property

New section added.

Practice note 10: part 2 - assessment of agricultural value

New section added.

Practice note 10: part 3 - relief given since 1981

New section added.

Appendix 1: rates of Inheritance Tax

New section added.

Appendix 2: VOA 1 request for initial VOA case approval

New section added.

Appendix 3: form VOA 2 request for full VOA evaluation

New section added.

Appendix 3A: form VOA 3 continuation form to form VOA 1 and VOA 2

New section added.

Appendix 4: form VO 1120 - VOA response to forms VOA 1 and VOA 2

New section added.

Appendix 5: form val 63 - requests from SV for formal valuations and report

New section added.

Appendix 6A: Form VO 1164 - Reporting not negotiated cases to SAV

New section added.

Appendix 6B: form VO 1165 - reporting formal cases to SAV

New section added.

Appendix 7: form cap 37 - schedule of property to be valued

New section added.

Appendix 8: form D12 - land, buildings and interest

New section added.

Appendix 10: form VOA 4 - email template used by IR(CT) for communications with VOA

New section added.

Appendix 9: form VO 1105 - VOA opening letters to parties

New section added.

Appendix 12: Form VO 1102 - Reminder to parties

New section added.

Appendix 11: Form VO 1101 - Notification of valuation to parties

New section added.

Appendix 13: Form VO 1103 - Advice to IR(CT) on state of negotiations

New section added.

Appendix 14: form VO 1110 - final report

New section added.

Appendix 15: form VO 1140 - prior agreement form

New section added.

Appendix 17: time limits and targets for IHT cases

New section added.

Appendix 18: Appeal reports: guidance notes on completion

New section added.

Appendix 19: Appeal reports - guidance notes for cases involving claims for agricultural relief

New section added.

Appendix 21: litigation general

New section added.

Appendix 22: The Special Commissioners

New section added.

Appendix 23: The Lands Tribunal

New section added.

Appendix 25: rule 42 documents and other exhibits

New section added.

Appendix 24: the expert's report and notes for guidance of advocate

New section added.

Appendix 26: VO1191 - letter requesting PD consent for hearing before commissioners

New section added.

Appendix 27: VO1193 - letter for PD consent for use at lands tribunal

New section added.

Appendix 28: related property

New section added.

Appendix 29: national heritage property, form of descriptive report

New section added.

Appendix 30: caravan parks - business relief

New section added.