Inheritance Tax Act 1984 (c. 51)

PART I U.K. GENERAL

Rates U.K.

[F1 8F Residence nil-rate amount: no interest in home goes to descendants etc U.K.

(1) Subsections (2) and (3) apply if the person's estate immediately before the person's death—

(a) does not include a qualifying residential interest, or

(b) includes a qualifying residential interest but none of the interest is closely inherited.

(2) The person's residence nil-rate amount is nil.

(3) An amount—

(a) equal to the person's default allowance, or

(b) if E is greater than TT, equal to the person's adjusted allowance,

is available for carry-forward.

(4) See also—

• [F2 section 8FD (which applies instead of this section where there is entitlement to a downsizing addition),]

• section 8H (meaning of “qualifying residential interest” [F3 , “qualifying former residential interest” and “residential property interest”]),

• section 8J (meaning of “inherit”),

• section 8K (meaning of “closely inherited”), and

• section 8M (cases involving conditional exemption).]

Textual Amendments

F1 Ss. 8D-8M inserted (18.11.2015) by Finance (No. 2) Act 2015 (c. 33), s. 9(4)

F2 Words in s. 8F(4) inserted (15.9.2016) by Finance Act 2016 (c. 24), Sch. 15 para. 4(a)

F3 Words in s. 8F(4) inserted (15.9.2016) by Finance Act 2016 (c. 24), Sch. 15 para. 4(b)