Inheritance tax is chargeable only on individuals, except in relation to dealings in settled property. This means that companies are not liable to IHT when they make transfers of value. However, there are special provisions in the legislation which deal with close companies. A transfer of value by a close company is apportioned to the company’s participators (a wider definition than simply shareholders) though the IHT is primarily payable by the company itself. Such transfers are immediately chargeable; they are not PETs (see ¶16105).

Need help? Get subscribed!

To subscribe to this content, simply call 0800 231 5199

We can create a package that’s catered to your individual needs.

Or book a demo to see this product in action.