UK rules · iht.gifts
Gift exemptions and taper relief
Annual and small gift exemptions and the 7-year taper on lifetime gifts.
Validated v1UKIn force 6 April 2007 onwards
| taper[1].rate | 40% |
| taper[1].to years | 3 |
| taper[1].from years | 0 |
| taper[2].rate | 32% |
| taper[2].to years | 4 |
| taper[2].from years | 3 |
| taper[3].rate | 24% |
| taper[3].to years | 5 |
| taper[3].from years | 4 |
| taper[4].rate | 16% |
| taper[4].to years | 6 |
| taper[4].from years | 5 |
| taper[5].rate | 8% |
| taper[5].to years | 7 |
| taper[5].from years | 6 |
| small gift | £250 |
| annual exemption | £3,000 |
| annual carry forward years | 1 |
“You can give away a total of £3,000 worth of gifts each tax year ... carry any unused annual exemption forward to the next tax year - but only for one tax year ... gifts of up to £250 per person ... Gifts given in the 3 years before your death are taxed at 40% ... 3 to 4 years 32% | 4 to 5 years 24% | 5 to 6 years 16% | 6 to 7 years 8% | 7 or more 0%”
Source: HMRC: www.gov.uk/inheritance-tax · checked 6 October 2026 · page last updated 8 November 2024
Version history
No changes have been published since the dataset was first verified.