Guidance

Inheritance Tax grossing up calculator

Use this calculator to gross up an estate, when the will leaves 바카라 사이트˜free of tax바카라 사이트™ gifts and the residue is partly or completely exempt from Inheritance Tax.

• From: HM Revenue & Customs
• Published: 5 March 2025

When someone dies, they can leave gifts in their will 바카라 사이트˜free of tax바카라 사이트™. This does not mean there바카라 사이트™s no Inheritance Tax to pay.  

It means the person receiving the gift gets the full amount stated. If any Inheritance Tax is due, it바카라 사이트™s taken from the rest of the estate (the residue).

Grossing up is the process of working out how much of the estate is liable for Inheritance Tax. It바카라 사이트™s needed when both:  

• someone that바카라 사이트™s liable for Inheritance Tax (a chargeable beneficiary) is left a 바카라 사이트˜free of tax바카라 사이트™ gift in the will
• the residue is partly or completely exempt from Inheritance Tax

When to use 

You can use the calculator for:  

• simple grossing up 바카라 사이트” where all gifts are 바카라 사이트˜free of tax바카라 사이트™ and the residue is completely exempt 
• four-stage grossing up 바카라 사이트” where some gifts are 바카라 사이트˜free of tax바카라 사이트™ and some are not, or all gifts are 바카라 사이트˜free of tax바카라 사이트™ and the residue is partly exempt 

In some situations, grossing up is more complicated. Do not use the calculator if either of these apply:  

• Successive charges relief (also called quick succession relief) 바카라 사이트” where Inheritance Tax is reduced because the estate includes assets that Inheritance Tax has recently been paid on
• 바카라 사이트˜Benham바카라 사이트™ grossing 바카라 사이트” where the will has specific instructions about how the residue should be divided between chargeable and exempt beneficiaries 

In these situations, we바카라 사이트™ll do the grossing up for you. Request this in the additional information box or cover letter when you complete your Inheritance Tax account on form IHT400.

Before you start 

You바카라 사이트™ll need a copy of the will. You바카라 사이트™ll also need to know these details about the estate: 

• the total 바카라 사이트¯value of the assets and liabilities  
• the nil rate band that applies, which is the Inheritance Tax threshold minus any lifetime gifts 
• if any transferable nil rate band applies 
• if any residence nil rate band applies 
• if the reduced rate of Inheritance Tax applies 

Use the calculator

To use the calculator, you바카라 사이트™ll need to:

1. Get all of your information together before you start. You바카라 사이트™ll use the calculator online and you cannot save your progress

2. Use the calculator

3. Print the results

4. Post them to HMRC along with your Inheritance Tax account (IHT400)

Interaction rules 

Interaction rules apply if the estate gets agricultural or business relief, and all of these apply: 

• the will has at least one specific gift of property 
• the will has property subject to tax relief that바카라 사이트™s not given as a specific gift 
• some of the estate is exempt from Inheritance Tax 

You can use the calculator if interaction rules apply, but only after manually deducting agricultural or business relief.  

Interaction calculations can get complicated. We바카라 사이트™ll do them for you if you request it when you submit your return. 

If something changes

If something changes after you submit your Inheritance Tax account, you can submit a corrective account with new grossing up.  

Use the calculator again, updating any figures that have changed. Print your results and post them with the corrective account.  

Detailed guidance 

For detailed information about grossing up, check the Inheritance Tax manual section on 바카라 사이트˜Calculating the chargeable estate바카라 사이트™.

Published 5 March 2025