An additional inheritance tax allowance is available for all deaths on or after 6 April 2017. The new allowance, called the Residence Nil Rate Band, is intended to be straight forward but the specific detail is quite complicated.
Subject to meeting the qualifying criteria estates will be able to claim an additional £100,000 threshold allowance (over and above the current basic allowance of £325,000) from the value of residential property owned by the deceased. This additional sum will rise by £25,000 per year for three years until it reaches £175,000 in 2020/2021.
Ensuring that the arrangements in your Will ensure that you qualify for the additional allowance is the key. We are happy to advise on this, whether or not your Will was written by us.