1. Overview

Business Relief reduces the value of a business or its assets when working out how much Inheritance Tax has to be paid.

Any ownership of a business, or share of a business, is included in the estate for Inheritance Tax purposes.

You can get Business Relief of either 50% or 100% on some of an estate’s business assets, which can be passed on:

How to claim relief

As the executor of the will or administrator of the estate, you can claim Business Relief when you’re valuing the estate.

You should fill in both:

You must use the market value of the business or asset when calculating relief at 50%.

You can claim relief on:

  • property and buildings
  • unlisted shares
  • machinery