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

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