Inheritance Tax Manual

IHTM23175 - Special valuation matters: business relief claimed on the land

Any claim for business relief (IHTM25131) on a property should be investigated before a reference is made to the Valuation Office Agency (VOA) (IHTM23002).

When considering whether 100% business relief is available, bear in mind that from 6 April 2026, there is a £2.5 million 100% relief allowance on the combined value of agricultural and business property (apportioned between all items of such property) and any value over that amount gets relief at 50% (see IHTM25500).  

Business relief is due on the open market value of the property and you will need to consider the extent to which 100% relief is available (subject to the limit above) before deciding whether, or to what extent, to ask the VOA to consider the valuation returned by the taxpayer.