CG67051 - Gifts: Inheritance Tax: Relief for Inheritance Tax: allowing relief

Where Inheritance Tax has been paid on a gift within CG67050 the donee is entitled to have any chargeable gain arising when they dispose of the asset reduced by the lesser of

• the amount of Inheritance Tax payable

or

• the chargeable gain.

Restricting the relief in this way cannot create or augment a loss on the disposal by the donee.

The relief is mandatory and does not require a claim.