Chancellor Alistair Darling has raised the threshold at which inheritance tax is paid to 600,000 pounds for married couples and civil partners, rising to 700,000 pounds by 2010.
LONDON (Reuters) Tue Oct 9, 2007 4:33pm BST
“From today, I can announce the combined tax-free allowance for their estates will not be the current 300,000 pounds but up to 600,000,” he told parliament.
He said in future years the government would take into account both house prices and inflation when setting thresholds on inheritance tax, which is payable be people on their dead relatives’ estates.
The opposition Conservatives said last week they would raise the threshold to one million pounds, funded by a levy on wealthy foreigners living in Britain but non-domiciled for tax purposes – full story