If you inherited a property that you then sold for less than the property was valued upon death, you could get a refund for the difference of the Inheritance Tax.
If you are considering making a financial gift this festive season, are you aware of the Inheritance Tax (IHT) consequences?
Have you ever considered how your children or relatives will pay your Inheritance Tax bill when you are no longer here?
Lifetime gifts are generally subject to IHT if they exceed the £325,000 nil rate band and do not qualify for either Agricultural Property Relief or Business Property Relief. However, some gifts are automatically exempt from IHT and do not require you to survive seven years for the value of the gift to fall outside your estate.