0844 826 8361

inheritance tax contact number

 

The Inheritance Tax helpline exists to help you navigate the issue of inheritance tax, an essential process which must often be carried out in times of grief. To ensure that the correct level of inheritance tax is paid, you may need to call the inheritance tax helpline or correspond with them on their official .gov.uk email address.

Reasons why you may need to call the Inheritance Tax helpline:

  • To enquire about paying inheritance tax
  • To see whether you need to pay inheritance tax
  • To ensure you submit the right forms and applications when paying inheritance tax
  • To get help with writing a last will and testament
  • If you have been saddled with more inheritance tax than you were expecting or than you can handle
  • If you feel your late father’s Duchy is being unfairly taxed

Inheritance Tax FAQ Link

Click any of the following quesitons to be taken to the relevent answer.

What is the inheritance tax threshold?
What is the inheritance tax rate?
Can I pass on my home after I die?
If I give gifts, are they taxed?
What counts as a gift?
What happens when someone living outside the UK dies?

Other Inheritance Tax Numbers:

Inheritance Tax Contact Number
Head Office 0844 826 8361
Submission Assistance 0844 826 8361
Complaints 0844 826 8361

Inheritance Tax Contact Line Opening Hours

Department Opening Hours
Assistance Monday to Friday, 8am to 6pm

Inheritance Tax Head Office

Department Address
Head Office Department for Work and Pensions
PO Box 50101
London
SW1P 2WU

inheritance tax phone line

What is the inheritance tax threshold?

Inheritance tax is paid on the estate (the value of the money, property and possessions) or someone who has died. It is taken before the estate passes on to those people who are specified in the Last Will and Testament of the deceased, and is always taken, except:

  • If the estate of the deceased is worth less than £325,000
  • The deceased left their entire estate to their spouse or civil partner
  • The deceased left their entire estate to a charity or foundation

Therefore, the majority of the population who have assets worth less than £325,000 at time of death will not see a penny of their estate go to inheritance tax, nor will those who have willed their estate to their spouses. Similarly, anyone who wills that their estate go to a charity or foundation won’t see that foundation or charity diminished with the application of inheritance tax.

Therefore, the inheritance tax threshold is £325,000.

What is the inheritance tax rate?

Inheritance tax is charged at a fixed rate of 40%. However, if 10% or more of the total value of the estate is specifically left to charity, the inheritance tax levied on the rest is decreased as a reward, an incentive or simply a way to soften the loss in light of charitable donation.

In this case, the inheritance tax charged is only 36%, presenting a considerable incentive to benefit your charity of choice.

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Certain inheritance tax relief schemes, such as Business Relief, help reduce or remove inheritance tax in special circumstances, such as when a small business is handed down as inheritance and standard taxation would result in its financial ruin. For more information on these relief schemes, call the inheritance tax helpline on 0844 826 8361.

Can I pass on my home after I die?

Your home can be passed on to your husband, wife, or ciivl partner after you die without any inheritance tax becoming payable. However, if you leave your home to anyone else in your will, the tax will apply. If you give your house as a gift to someone else, move out of it, then live for another seven years, you will not have to pay inheritance tax on it after you die.

If you want to give your property away and still live in it before dying, you will need to:

  • pay rent at the local standard rates to the new owner
  • pay your fair share of the bills and utilities
  • live for at least 7 years

If these conditions are met, then the house is considered to belong to the new owner on your death – not to you – and inheritance tax will not apply. If you die before the 7 years is up, your home will be treated as a gift, explained below.

If I give gifts, are they taxed?

Usually, small gifts made out of your regular income are not subject to tax. This includes things like Christmas presents and brithday presents, so don’t worry about those – they’re called “exempted gifts”.

Any gift given to a spouse or civil partner counts as an exempted gift, and there’s no limit on how much they can be. If you’ve given away more than £325,000 to anyone other than your spouse or civil partner, however, inheritance tax may come into play if you die before 7 years is up.

What counts as a gift?

A gift is classed as giving someone anything that has value, such as money or property. However, it can also be any transaction where loss of value occurs. If you sell your house to your child for less than the property is worth, that reduction in value is considered a gift.

So what is an exempted gift?

You can give away up to £3000 each year without that £3000 being added to the value of your estate. You amy also give away £1000 of wedding gifts or civil ceremony gifts, and payments to help someone with living expenses – for example an elderly relative or a dependent child.

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You may also make unlimited gifts to charities and political parties without having the gifts be taxed in the event of your death.

What happens when someone living outside the UK dies?

When someone whos permanent home is outside the UK dies, only their UK assets will be subject to UK inheritance tax. Inheritance tax does not need ot be paid on “excluded” wealth like foreign currency bank accounts, foreign properties or overseas pensions.

However, you will be treated as a standard UK citizen if you lived 17 or the last 20 years in the UK, or if you lived in the UK full-time in the last 3 years of your life.