Relief for spouses
The Civil Partnership legislation came into effect in 2011 and therefore civil partners are not affected by Probate Tax.
Relief for a surviving spouse
The tax on property passing absolutely to a spouse is abated to nil. Where the spouse receives a limited (life) interest in property, the tax borne by the property is postponed until the death of the surviving spouse. Provided the postponed tax is paid within 9 months of the date of death, interest will not be charged.
Relief where spouses die within a short time of each other
This relief exempts property from a second charge to Probate Tax where the following conditions are met:
- the property is liable to tax on the death of one spouse
- within five years the property again becomes liable to tax on the death of the surviving spouse, and the surviving spouse leaves a dependent child.
Where the surviving spouse dies within one year, the dependent child requirement does not apply.
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