Inheritance Tax (10)

Question 1

If PET is before 7 years in death tax?

Answer 1

It is exempt

Question 2

If CLT is before 7 years in death tax?

Answer 2

It is not taxable. But chargeable

Question 3

If PET is within 7 years in death tax?

Answer 3

Now taxable

Question 4

When PET < £325000?

Answer 4

There is no tax due

Question 5

When is there no taper relief?

Answer 5

3 years before death

Question 6

Tax at death estate?

Answer 6

40%

Question 7

Lifeitme tax on CLT and death tax computation? (ONLY APPLIES TO CLT)

Answer 7

Is deducted like taper relief in the death tax working

Question 8

Repayment tax in death estate?

Answer 8

A deduction in the main residence

Question 9

Debts in death estate?

Answer 9

A deduction

Question 10

Funeral expenses in death estate?

Answer 10

A deduction

Question 11

In life insurance in death estate?

Answer 11

Proceeds are added not market value

Question 12

Available maximum RNRB lower of?

Answer 12

£175000 plus any transferred RNRB from a spouse or civil partner

AND

Value of main residence passing to direct descendents - repayment mortgage or interest-only mortgage

Question 13

Gross chargeable transfer within 7 years?

Answer 13

Deducted from NRB

Question 14

A gift of £171000 to sister?

Answer 14

A PET

Question 15

Money left to wife in death tax?

Answer 15

Exempt, fully deductible

Question 16

Where does RNRB apply?

Answer 16

A main residence is held within the death estate and is inherited directly by DIRECT descendants (children/grandchildren)

Question 17

RNRB only applies to?

Answer 17

DIRECT DESCENDENTS