This document discusses the conditions required to qualify a property for BPR and property that fail to qualify for BPR. It also covers valuation issues, withdrawal of business property.

Business property relief (BPR) is a relief that reduces the taxable value of property on which inheritance tax is charged. The reduction will generally be available where a transfer of business property is made, or where a deceased estate contains business property.

The reduction will be at a rate of 50% or 100%, depending upon the type of business property concerned.

BPR is given automatically. It is not necessary to make a formal claim in order for BPR to apply. However, an intention to deduct BPR from the value of qualifying assets must be signalled on the inheritance tax ac-count form IHT413 and the amount deducted needs to be shown. IHTA 1984, s 104

Access this article and thousands of others like it free for 7 days
with a trial of TolleyGuidance.


Already a subscriber? Login

Request a Free Trial to TolleyGuidance to gain access to the full article

TolleyGuidance is produced by specialists within the field, our tax guidance materials provide actionable insights and practical guidance to support you day-to-day. We don’t just inform you about the latest changes in the tax world. We take the time to explain the implications and, most importantly, what actions you need to take for your clients.

A bit about you:

Please note that all fields marked with a * must be filled in
First name*
Last name*
Job title*