Beryl, a UK-domiciled individual, died on 5^th February 2021.

Her estate comprises the following assets:

A main residence valued at £1,000,000.

20,000 shares in Sussex plc quoted at 672-680 on the date of death.

Cash and chattels totalling £1,000,000.

The cost of Beryl’s funeral was £4,500. She had made the following lifetime transfer:

17^th June 2017 Nephew – £400,000 cash on the occasion of his marriage.

Beryl left the entire estate to her daughter. Beryl paid any IHT arising on lifetime transfers.

Required:

Calculate any inheritance tax that will be payable on Beryl’s lifetime transfer.

Calculate the inheritance tax payable as a result of Beryl’s death, stating the date by which it must be paid.

Answer rating: 100% (QA)

To calculate the inheritance tax IHT payable on Beryls lifetime transfer and her estate upon her death we need to consider the various components and ... View the full answer