What are the available inheritance tax exemptions?

• There's a £3,000 yearly inheritance tax (IHT) exemption.  This can be rolled over to the following year if it isn't used - up to a maximum of £6,000 per individual.
• Up to £250 can be gifted to any number of individuals each tax year.  This can’t be used in conjunction with any other exemption.
• Gifts can be given on marriage up to:

                   - £5,000 from each parent;

                   - £2,500 from each remote relative (a grandparent, for example); and

                   - £1,000 from any other individual.

• The 'normal expenditure out of income' exemption might apply.
• Gifts to a UK domiciled spouse/civil partner are also exempt.

To find out more about IHT exemptions take a look at HM Revenue & Custom's Inheritance Tax Manual.

This information is based on our understanding of current, taxation law and HMRC practice, which may change.