Inheritance tax: leaving 10% of an estate to charity | Practical Law

Inheritance tax: leaving 10% of an estate to charity | Practical Law

A practice note about the lower rate of inheritance tax (IHT) of 36% for testators who leave 10% of their net estates to charity (section 7 and Schedule 1A, Inheritance Tax Act 1984). It explains how the 10% test works (with examples), and discusses the implications for testators, personal representatives, trustees, beneficiaries and charities, and how to draft wills for testators who want to benefit from the lower rate.

Inheritance tax: leaving 10% of an estate to charity

Practical Law UK Practice Note 7-500-1086 (Approx. 32 pages)

Inheritance tax: leaving 10% of an estate to charity

by Practical Law Private Client
Maintained • United Kingdom
A practice note about the lower rate of inheritance tax (IHT) of 36% for testators who leave 10% of their net estates to charity (section 7 and Schedule 1A, Inheritance Tax Act 1984). It explains how the 10% test works (with examples), and discusses the implications for testators, personal representatives, trustees, beneficiaries and charities, and how to draft wills for testators who want to benefit from the lower rate.