Inheritance Tax Act 1984

8 Indexation of rate bands. U.K.

(1) If the retail prices index for the month of [F1 September in 1993] or any later year is higher than it was for the [F1 previous September], then, unless Parliament otherwise determines, section 7 above and Schedule 1 to this Act shall apply to chargeable transfers made on or after 6th April in the following year with the substitution of [F2 a new Table for the Table] applying (whether by virtue of this section or otherwise) to earlier chargeable transfers.

(1A) . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . F3

(2) The new [F4 Table] shall differ from the [F4 Table] it replaces in that for each of the amounts specified in the first and second columns there shall be substituted amounts arrived at by increasing the previous amounts by the same percentage as the percentage increase in the retail prices index and, if the result is not a multiple of £1,000, rounding it up to the nearest amount which is such a multiple.

(3) The references in this section to the retail prices index are references to the general index of retail prices (for all items) published by the [F5 Office for National Statistics]; and if that index is not published for a month of [F1 September] those references shall be construed as references to any substituted index or index figures published by [F6 that Office].

(4) The Treasury shall before 6th April [F1 1994] and each subsequent 6th April make an order specifying the amounts which by virtue of this section will be treated, in relation to chargeable transfers on or after that date, as specified in the [F7 Table] in Schedule 1 to this Act; and any such order shall be made by statutory instrument.

Textual Amendments

F1 Words in s. 8(1)(3)(4) substituted (27.7.1993: the substituting section applying in relation to chargeble transfers made on or after 6.4.1994) by 1993 c. 34, s. 197(1)(2).

F2 Finance Act 1986 Sch. 19, para. 3(1), with effect from 18 March 1986. Originally “new Tables for the Tables”.

F3 Finance Act 1986 Sch. 19, para. 3(2), with effect from 18 March 1986. repealed by 1988, s. 136(3) and Sch.14, Part X with effect from 15 March 1988.

F4 Finance Act 1986 Sch. 19, para. 3(3), with effect from 18 March 1986. Originally “Tables”.

F5 Words in s. 8(3) substituted (1.4.1996) by S.I. 1996/273, art. 5(1), Sch. 2 para. 21(a)

F6 Words in s. 8(3) substituted (1.4.1996) by S.I. 1996/273, art. 5(1), Sch. 2 para. 21(b)

F7 Finance Act 1986 Sch. 19, para. 3(4), with effect from 18 March 1986. Originally “Tables”.

Modifications etc. (not altering text)

C1 S. 8(1) restricted (7.4.2005) by Finance Act 2005 (c. 7), s. 98(6)

C2 S. 8(1) excluded (19.7.2006) by Finance Act 2006 (c. 25), s. 155(5)

C3 S. 8 restricted (19.3.1997 with effect as mentioned in s. 93(2) of the amending Act) by 1997 c. 16, s. 93(2)

C4 S. 8(1) excluded (16.7.1992) by Finance (No. 2) Act 1992 (c. 48), s. 72(2).

S. 8(1) excluded (27.7.1993) by 1993 c. 34, s. 196.

S. 8(1) excluded (3.5.1994 with effect as mentioned in s. 246 of the amending Act) by 1994 c. 9, s. 246

C5 S. 8(1) restricted (24.7.2002) by 2002 c. 23, s. 118(2)