answer text |
<p>At Summer Budget 2015, the government announced the introduction of a ‘residence
nil rate band’ for inheritance tax when a home is passed on death to a direct descendent.
It will start at £100,000 in 2017-18, increasing in £25,000 increments to £175,000
in 2020-21. This, in addition to the existing nil rate band of £325,000, will increase
the inheritance tax free threshold to £500,000 for many individuals, and up to £1
million for many married couples and civil partners by 2020-21.</p><p> </p><p>The
estimated number of estates that will benefit as a result of the residence nil rate
band are in the table below:</p><p> </p><table><tbody><tr><td><p>Year</p></td><td><p>2017/
18</p></td><td><p>2018/ 19</p></td><td><p>2019/ 20</p></td><td><p>2020/ 21</p></td><td><p>2021/
22</p></td></tr><tr><td><p>Estimated number of estates benefitting from the residence
nil-rate band phased in from 2017 (000s)</p></td><td><p>30</p></td><td><p>31</p></td><td><p>32</p></td><td><p>34</p></td><td><p>36</p></td></tr></tbody></table><p>
</p><p> </p>
|
|