Inheritance tax calculator (IHT)
This inheritance tax (IHT) calculation is based on certain assumptions and may not cover your unique circumstances. It is an approximate calculation based on the information you provide.
Before you start
Step 1 of 4
Before using this calculator, please read this important information. By using this calculator you confirm that you have read and understand the important information about the assumptions that have been made to provide you with your IHT calculation and any limitations of this tool.
Rest of the world
England
Select your country
Country of domicile
The country that you treat as your permanent home, or live in and have a substantial connection with. If you are not sure about this, please consult your tax adviser.
Unfortunately, we do not provide IHT planning services to UK non‐domiciled residents. However, we may be able to offer our investment management services if they are of interest to you.
Get in touch
To discuss your inheritance tax needs with an inheritance tax specialist, request a free consultation.
Need more help with your inheritance tax calculation?
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Northern Ireland
Wales
Scotland
If you are not sure how to answer certain questions, please read the various tooltips ( ) available alongside the questions. If you need more help, simply click to ‘get in touch’ at any step of the calculator, to request a free consultation with one of our IHT specialists.
Important information – assumptions and limitations: The tax outcome cannot be certain as this will depend on a number of aspects, including the terms of your Will, values at the time of your death and the tax regime at that time. Your marital/civil partner status: we have assumed that you leave your entire estate to each other on the first death and that two Nil Rate Bands (NRB) and Residence Nil Rate Bands (RNRB), if applicable, are available on the second death. Your personal circumstances and terms of your respective Wills could mean your estate IHT liability varies from that shown. If you are single, we have assumed only one Nil Rate Band is available and no more than one Residence Nil Rate Band. We have assumed that the full Residence Nil Rate Band (RNRB) is available on the ‘first death’, which may not be the case, resulting in the potential IHT liability being under or overstated. As such these results should be considered as being highly indicative only. The qualifying conditions are complex and include owning business relief investments for at least 2 years and at the time of your death. Business Relief acts as an incentive to invest in high risk investments. You must be willing and able to accept the risk involved. Personal financial advice should be taken to determine whether this is suitable for a proportion of your assets. It is possible that the value of Business Relief investments could fall by more than the potential IHT saving, resulting in a worse outcome for your loved ones. Investments qualifying for Business Relief may be difficult to sell. This could cause delays in administering your estate at the relevant time. We have assumed the performance of investments is the same, regardless of whether qualifying for Business Relief. In practice this is unlikely and Business Relief investments can be expected to be more volatile in value – both up and down. This is based on our understanding of the current IHT regime and both this regime, and our understanding, is subject to change. This tool considers the details you have given us about your estate and whether you plan to leave your home to your direct descendants. Whether you qualify for the Residence Nil Rate Band and how much it could benefit your estate depends on several factors which is why you may wish to speak to an inheritance tax specialist after using this tool. Our tool is provided purely for illustrative purposes and no action should be taken, or deferred from being taken, based on the results. It is for simple estates only and assumes no gifts have been made.
Important information - assumptions and limitations
Important information – assumptions and limitations:
Marital status
Widow(er)
Married/Civil Partnership
Single
Select your marital status
Your marital status can affect how much tax-free allowance is available before having to pay IHT.
We have assumed that your late spouse/civil partner has left you their entire estate. Therefore, our calculations assume two IHT Nil Rate Bands (NRB) and up to two Residence Nil Rate Bands (RNRB) available. Your personal circumstances and terms of your respective Wills could mean your estate IHT liability varies from that shown.
We have assumed that you leave your entire estate to each other on the first death. Therefore, our calculations assume that no IHT will apply until the second death, with two Nil Rate Bands (NRB) and up to two Residence Nil Rate Bands (RNRB) available. Your personal circumstances and terms of your respective Wills could mean your estate IHT liability varies from that shown.
If you are single, our calculations assume one IHT Nil Rate Band (NRB) and up to one Residence Nil Rate Band (RNRB) is available.
The tax outcome cannot be certain as this will depend on a number of aspects, including the terms of your Will, values at the time of your death and the tax regime at that time. Your marital/civil partner status: we have assumed that you leave your entire estate to each other on the first death and that two Nil Rate Bands (NRB) and Residence Nil Rate Bands (RNRB), if applicable, are available on the second death. Your personal circumstances and terms of your respective Wills could mean your estate IHT liability varies from that shown. If you are single, we have assumed only one Nil Rate Band is available and no more than one Residence Nil Rate Band. We have assumed that the full Residence Nil Rate Band (RNRB) is available on the ‘first death’, which may not be the case, resulting in the potential IHT liability being under or overstated. As such these results should be considered as being highly indicative only. The qualifying conditions are complex and include owning business relief investments for at least 2 years and at the time of your death. Business Relief acts as an incentive to invest in high risk investments. You must be willing and able to accept the risk involved. Personal financial advice should be taken to determine whether this is suitable for a proportion of your assets. It is possible that the value of Business Relief investments could fall by more than the potential IHT saving, resulting in a worse outcome for your loved ones. Investments qualifying for Business Relief may be difficult to sell. This could cause delays in administering your estate at the relevant time. We have assumed the performance of investments is the same, regardless of whether qualifying for Business Relief. In practice this is unlikely and Business Relief investments can be expected to be more volatile in value – both up and down. This is based on our understanding of the current IHT regime and both this regime, and our understanding, is subject to change. This tool considers the details you have given us about your estate and whether you plan to leave your home to your direct descendants. Whether you qualify for the Residence Nil Rate Band and how much it could benefit your estate depends on several factors which is why you may wish to speak to an inheritance tax specialist after using this tool. Our tool is provided purely for illustrative purposes and no action should be taken, or deferred from being taken, based on the results. It is for simple estates only and assumes no gifts have been made.
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To the best of your knowledge, please provide details of your current assets. If you are not sure how to answer certain questions, please read the various tooltips available alongside each question or click ‘get in touch’ to speak to an IHT specialist.
What you own (your assets)
£
Property - home
Cash and savings
Properties - other
Investments
Other assets
Will you leave your home property to direct descendants?*
The amount you hold as cash deposits plus any National Savings and Investment products (NSI).
If you own your home, please give its approximate value.
Any stocks, shares, unit trusts and other investments, based on a recent valuation, including any ISAs. You can ignore any pension plans as these aren’t usually included in an estate IHT calculation.
Any properties you own other than your own home, including any rental properties.
In summary this means if, in your will, you are leaving your home to your children, grandchildren, great grandchildren, step, adopted or fostered children, or their spouse/civil partner.
Anything else you own of notable value, including paintings, cars etc. Also, any loan/s due to be repaid to you. Please ignore any pension plans as these aren't usually included in an estate IHT calculation.
Yes
No
*please fill all above points
Other debts
Outstanding mortgage(s)
To the best of your knowledge, please give details of your current debts or liabilities – i.e. anything that you owe. If you are not sure how to answer certain questions, please read the various tooltips available alongside each question or click ‘get in touch’ to speak to an IHT specialist.
What you owe (your debts/liabilities)
Any other money you owe, for example on credit cards or other loans.
Any mortgages or loans secured on a property, including any equity release loan.
Step 3 of 4
Step 4 of 4
Your IHT liability and how we can help
This figure is just an indication of your estate’s IHT liability, as there are many other factors that can affect this. For example, it can be affected by: Your marital/civil partner status Your country of domicile, or that of your spouse or civil partner Whether anything you own qualifies for an exemption or relief from IHT Whether you have made any gifts in the last seven years.
The potential estimated IHT liability on your estate is:
100.000.000 £
IHT portfolio service: potentially reduce your IHT liability with Business Relief (BR) investments Leaving a Will: an up-to-date Will should be the starting point for any estate planning Financial gifting: providing financial gifts outright or into a trust Life assurance: providing heirs with a lump sum towards paying the IHT Charitable giving: gifting to charity during your lifetime or via your Will to provide tax relief.
Planning options that could reduce your IHT liability include:
Could you reduce your IHT liability with Business Relief (BR) investments?
Speak to an inheritance tax specialist
Discover other ways that we help our clients make further reductions on their inheritance tax.
Discover more
Investment portfolio
Your loved ones receive
Inheritance tax
Invested in IHT portfolio
Your loved ones get
Find out more
Assuming you do not already have investments in an IHT-efficient portfolio, your current IHT liability could be xyz as shown below. With IHT planning, you could, for example invest 20% of your total investment portfolio and therefore xyz in IHT BR investments. After two years, any shares that you hold within these investments are no longer counted as part of your estate for IHT purposes. So your estate can benefit after two years, even if there is no growth in your IHT portfolio.
The illustration shows how this could result in a potential IHT saving of xyz. This would mean your loved ones receive an additional xyz from your estate.
Please read this important information so that you understand the assumptions that have been made to provide you with this calculation and any limitations of this tool.
Discover ways that we help our clients make further reductions on their inheritance tax.
Could you potentially reduce your IHT liability with Business Relief (BR) investments and leave more for your loved ones?
If this outcome is not what you expected and/or you would like to find out more about how IHT is calculated, please get in touch.
This figure is just an indication of your estate’s IHT liability, as there are many other factors that can affect this. For example, it can be affected by:
Your marital/civil partner status Your country of domicile, or that of your spouse or civil partner Whether anything you own qualifies for an exemption or relief from IHT Whether you have made any gifts in the last seven years.
Thanks for using our calculator.
Thanks for using our IHT calculator
Based on the information you provided, and due to our regulatory duty to our clients, our IHT planning services may not be suitable for you. Typically, we provide financial advice to clients with assets over £250,000 or investment management services to clients who have over £250,000 of investable assets.
