UK Act of Parliament 1984 United Kingdom

Inheritance Tax Act 1984

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At a glance

Enforced by

HMRC

What's here

18 compliance obligations, 2 practical guides · 4 journeys

Penalty landscape

3 of 18 obligations carry a fine up to £3,000. 2 carry different penalties and 13 have no criminal penalty — flagged in the list below.

Who this Act binds

Business-side actors with duties under this Act, ranked by how often they appear.

  • Any Person 7
  • Trustee 1
  • Responsible Person 1

Plus 9 non-business duties on Crown ministers, regulators, local authorities or tribunals — shown collapsed under each section below.

Step-by-step journeys using this legislation

Walkthroughs that take you from a real business situation to compliance.

Relevant guidance

Practical guides for businesses affected by this Act, ordered by how closely they engage with it.

Direct — cites this Act

1 guides

Mentioned in related content

1 guides

Other Acts binding the same actors

For each actor bound by this Act, the other UK Acts that bind them most often. Useful for understanding the full compliance landscape facing each role.

Any Person also bound by 749 other Acts (top 5 shown)
Trustees also bound by 8 other Acts (top 5 shown)
Responsible Persons also bound by 56 other Acts (top 5 shown)

What this Act requires

Sections that create concrete duties on businesses or carry penalties. Procedural and definitional sections are folded into the “Browse other sections” expander at the bottom of each group. Click any section title to read the source text on legislation.gov.uk.

Part I — GENERAL

Browse 40 other sections in this Part — procedural / definitional / commencement
s.003

Potentially exempt transfers.

s.006

“Long-term UK resident”: individuals

s.006

“Long-term UK resident”: young persons

s.006

“Long-term UK resident”: bodies corporate

s.008

Transfer of unused nil-rate band between spouses and civil partners

s.008

Claims under section 8A

s.008

Section 8A and subsequent charges

s.008

Extra nil-rate band on death if interest in home goes to descendants etc

s.008

Residence nil-rate amount: interest in home goes to descendants etc

s.008

Residence nil-rate amount: no interest in home goes to descendants etc

s.008

Downsizing addition: entitlement: low-value death interest in home

s.008

Downsizing addition: entitlement: no residential interest at death

s.008

Downsizing addition: effect: section 8E case

s.008

Downsizing addition: effect: section 8F case

s.008

Calculation of lost relievable amount

s.008

Meaning of “brought-forward allowance”

s.008

Meaning of “qualifying residential interest” , “qualifying former residential interest” and “residential property interest”

s.008

Qualifying former residential interest”: interests in possession

s.008

Meaning of “inherited”

s.008

Meaning of “closely inherited”

s.008

Claims for brought-forward allowance and downsizing addition

s.008

Residence nil-rate amount: cases involving conditional exemption

s.012

Pension drawdown fund not used up: no deemed disposition

s.013

Dispositions by close companies to employee-ownership trusts

Part II — EXEMPT TRANSFERS

s.035

Variation of undertakings.

Other duties (1) — Crown / regulator
  • Tribunal may force variation of tax undertakings Tribunal / Court
Browse 31 other sections in this Part — procedural / definitional / commencement
s.024

Gifts to housing associations.

s.026

Potentially exempt transfer of property subsequently held for national purposes etc.

s.028

Employee-ownership trusts

s.029

Abatement of exemption where claim settled out of beneficiary’s own resources.

s.032

Associated properties.

s.039

Operation of sections 38 and 39 in cases of business or agricultural relief.

Part III — SETTLED PROPERTY

s.079

Variation of undertakings.

Other duties (1) — Crown / regulator
  • Tribunal may vary tax undertakings if you refuse HMRC proposals Tribunal / Court
Browse 85 other sections in this Part — procedural / definitional / commencement
s.046

Contract of life insurance entered into before 22nd March 2006 which on that day is settled property in which interest in possession subsists

s.046

Contract of life insurance entered into before 22nd March 2006 which immediately before that day is property to which section 71 applies

s.047

Settlement power

s.048

Commencement of settlement

s.048

Excluded property: property situated outside the UK etc

s.049

Immediate post-death interest

s.049

Transitional serial interests

s.049

Transitional serial interest: interest to which person becomes entitled during period 22nd March 2006 to 5th October 2008

s.049

Transitional serial interest: interest to which person becomes entitled on death of spouse or civil partner on or after 6th October 2008

s.049

Transitional serial interest: contracts of life insurance

s.054

Special rate of charge where settled property affected by potentially exempt transfer.

s.054

Provisions supplementary to section 54A.

s.055

Purchased settlement powers

s.057

Relief where property enters maintenance fund.

s.062

Same-day additions

s.062

Same day additions: exceptions

s.062

Protected settlements

s.071

Trusts for bereaved minors

s.071

Charge to tax on property to which section 71A applies

s.071

Sections 71A and 71B: meaning of “bereaved minor”

s.071

Age 18-to-25 trusts

s.071

Charge to tax on property to which section 71D applies

s.071

Calculation of tax charged under section 71E in certain cases

s.071

Calculation of tax charged under section 71E in all other cases

s.071

Sections 71A to 71G: meaning of “parent”

s.074

Arrangements involving acquisition of interest in settled property etc

s.074

Section 74A: supplementary provision

s.074

Interpretation of sections 74A and 74B

s.075

Property becoming subject to employee-ownership trust

s.081

Reversionary interests in relevant property

s.081

Excluded property: property to which section 80 applies

s.082

Excluded property: property to which section 81 applies (new cases)

s.089

Self-settlement by person expected to fall within the definition of “disabled person”

s.089

Meaning of “disabled person's interest”

s.089

Disabled person's interest: powers of advancement etc

Part IV — CLOSE COMPANIES

Browse 6 other sections in this Part — procedural / definitional / commencement

Part V — MISCELLANEOUS RELIEFS

s.109

. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . ..

Amended 1 time
s.151

Person dying with alternatively secured pension fund

Amended 14 times
s.151

Relevant dependant with pension fund inherited from member over 75

Amended 14 times
s.151

Rate or rates of charge under section 151B

Amended 14 times
s.151

Dependant dying with other pension fund

Amended 14 times
s.151

Unauthorised payment where person dies over 75 with pension or annuity

Amended 14 times
s.151

Rate or rates of charge under section 151D

Amended 14 times
s.155

Death of constables and service personnel targeted because of their status

Amended 6 times
Browse 33 other sections in this Part — procedural / definitional / commencement
s.113

Transfers within seven years before death of transferor.

s.113

Application of section 113A to replacement property.

s.124

Transfers within seven years before death of transferor.

s.124

Application of section 124A to replacement property.

s.124

Environmental management agreements

s.141

Apportionment of relief under section 141

s.153

Death of emergency service personnel etc

s.153

Qualifying payments

s.159

Treatment of dormant assets

Part VI — VALUATION

s.162

Liabilities attributable to financing excluded property

Amended 2 times
s.162

Liabilities attributable to financing non-residents' foreign currency accounts

Amended 2 times
s.162

Liabilities attributable to financing certain relievable property

Amended 2 times
s.162

Sections 162A , 162AA and 162B: supplementary provision

Amended 2 times
Browse 34 other sections in this Part — procedural / definitional / commencement
s.175

Discharge of liabilities after death

s.186

Cancelled investments.

s.186

Suspended investments.

s.197

Sales in fourth year after death.

Part VII — LIABILITY

s.214

Certificates of tax paid.

Other duties (1) — Crown / regulator
  • HMRC must provide a certificate of Inheritance Tax paid upon request Statutory regulator
Browse 5 other sections in this Part — procedural / definitional / commencement

Part VIII — ADMINISTRATION AND COLLECTION

s.218

Instruments varying dispositions taking effect on death

Fine up to £3,000 Amended 1 time
  • Notify HMRC of changes to a will that increase Inheritance Tax Responsible Person
s.219

Power to call for documents etc.

Amended 7 times
s.219

Appeal against requirement to produce documents etc.

Amended 7 times
s.220

Exchange of information with other countries.

Amended 1 time
s.223

Appeal: HMRC review or determination by tribunal

Amended 1 time
s.223

Appellant requires review by HMRC

Amended 1 time
Other duties (1) — Crown / regulator
  • HMRC must review a tax decision if you request it Statutory regulator
s.223

HMRC offer review

Amended 1 time
s.223

Notifying appeal to the tribunal

Amended 1 time
s.223

Nature of review etc

Amended 1 time
Other duties (1) — Crown / regulator
  • HMRC must conduct reviews and notify you of the outcome within 45 days Statutory regulator
s.223

Effect of conclusions of review

Amended 1 time
s.223

Notifying appeal to tribunal after review concluded

Amended 1 time
s.223

Notifying appeal to tribunal after review offered but not accepted

Amended 1 time
s.223

Interpretation of sections 223A to 223I

Amended 1 time
s.225

Extension of regulation-making powers.

Amended 2 times
s.232

Administration actions.

Other duties (1) — Crown / regulator
  • Courts must ensure unpaid Inheritance Tax is paid from property in leur control Tribunal / Court
s.240

Underpayments: supplementary

Amended 7 times
s.240

Underpayments involving offshore matters etc

Amended 7 times
s.241

Overpayments.

Amended 2 times
Other duties (1) — Crown / regulator
  • HMRC must repay overpaid Inheritance Tax and interest Statutory regulator
s.245

Failure to provide information etc.

Amended 6 times
Browse 12 other sections in this Part — procedural / definitional / commencement

Part IX — MISCELLANEOUS AND SUPPLEMENTARY

s.267

Limited liability partnerships.

Amended 8 times
s.267

Election to be treated as domiciled in United Kingdom

Amended 8 times
s.267

Section 267ZA: further provision about election

Amended 8 times
s.267

Election to be treated as a long-term UK resident

Amended 8 times
s.267

Further provision about elections under section 267ZC

Amended 8 times
s.267

Subject of domicile election treated as a long-term UK resident

Amended 8 times
s.267

Double taxation conventions operating by reference to deemed domicile

Amended 8 times
s.273

Transition from estate duty.

Other duties (1) — Crown / regulator
  • HMRC must apply transitional rules for old estate duty cases Statutory regulator
Browse 14 other sections in this Part — procedural / definitional / commencement
s.271

Qualifying non-UK pension scheme

Schedules

Browse 11 other Schedules — structural / supplementary
s.sch001a

Gifts to charities etc : tax charged at lower rate

s.sch005a

Qualifying payments: victims of persecution during Second World War era

Other sections — not classified into a Part

These sections exist in the Act but the contents-of-Parts walker did not place them under a Part. Likely amendments or sections inserted out of the original Part structure.

Browse 2 other unclassified sections
s.non-excluded overseas property

Non-excluded overseas property

s.table of derivations

TABLE OF DERIVATIONS

Read the full Act on legislation.gov.uk (opens in a new tab)

Official guidance

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Enforcement and responsible bodies

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HMRC

HM Revenue & Customs

Tax collection, customs duties, national insurance, tax credits, and enforcement of the National Minimum Wage. Regulates all UK businesses for tax compliance …

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