IHTM22042 - Quick succession relief: when the relief applies
For tax on the deceased바카라 사이트™s death estate to be reduced by quick succession relief (QSR) (IHTM22041) there must be
- an earlier chargeable transfer (IHTM04027)
- within five years of the death
- on which tax was (or becomes) payable, and
- the chargeable transfer must have increased the deceased바카라 사이트™s estate.
The earlier chargeable transfer can be
- on death
- a lifetime transfer chargeable when made (IHTM04067)
- a failed potentially exempt transfer (IHTM0457), or
- of settled property (IHTM16000) whether held on interest in possession (IHTM16061) or discretionary trusts.
Example
Manish died in March 2008 leaving an estate of £350,000. By Will his whole estate passed to a child, Dinesh. Tax of £20,000 was paid.
Dinesh dies in 2010. QSR is due on Dinesh바카라 사이트™s death if his estate is also taxable.
The assets the deceased received under the earlier transfer need not be included in the deceased바카라 사이트™s death estate for the QSR to be due. But if a comparison of the deceased바카라 사이트™s free estate (IHTM04029) and the earlier transfer suggests there may be undisclosed lifetime gifts you must consider whether an enquiry is appropriate.
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