Inheritance Tax Citation, commencement, effect and interpretation 1 1 These Regulations may be cited as the Inheritance Tax (Delivery of Accounts) (Excepted Estates) (Amendment) Regulations 2021. 2 These Regulations shall come into force on 1st January 2022, and shall have effect in relation to deaths occurring on or after that day. 3 In these Regulations “the principal Regulations” means the Inheritance Tax (Delivery of Accounts) (Excepted Estates) Regulations 2004 . Amendment of the principal Regulations 2 In regulation 2 (interpretation) of the principal Regulations, in the definition of “the prescribed period” in England, Wales and Northern Ireland, for “35 days” substitute “60 days”. 3 1 Regulation 4 (excepted estates) of the principal Regulations is amended as follows. 2 In paragraph (2)— a in sub-paragraph (c)(i), for “£150,000” substitute “£250,000”; b in sub-paragraph (d), for “£150,000” substitute “£250,000”; c for sub-paragraph (e) substitute— e the gross value of the estate for inheritance tax did not exceed the IHT threshold. . 3 In paragraph (3)— a for sub-paragraph (c)(i) substitute— i not more than £1,000,000 represented value attributable to property which, immediately before that person’s death, was settled property, and of that settled property, not more than £250,000 represented value attributable to property other than property transferred on that person’s death by a spouse, civil partner or charity transfer; and ; b in sub-paragraph (d), for “£150,000” substitute “£250,000”; c for sub-paragraph (e) substitute— e the gross value of the estate for inheritance tax did not exceed £3,000,000; ; d for sub-paragraph (f) substitute— f the net qualifying value of the estate does not exceed the IHT threshold. . 4 In paragraph (4) for “the value of B” substitute “in calculating the net qualifying value of the estate the value of EVT”. 5 In paragraph (5)— a in sub-paragraph (ba) omit “and”; b after sub-paragraph (ba) insert— bb that person was not beneficially entitled to any property to which paragraph 2 or 3 of Part 1 or paragraph 5 of Part 2 of Schedule A1 to the 1984 Act applies; bc subject to paragraph (7A), that person died without having made any chargeable transfers during the period of seven years ending with his death; and . 6 In paragraph (6)— a for “(2) and (3)” substitute “(2), (3) and (4)”; b before “specified transfers” insert— “gross value of the estate for inheritance tax” means the aggregate of— a the gross value of a person’s estate, b subject to paragraph (7), the value transferred by any specified transfers made by that person, and c the value transferred by any specified exempt transfers made by that person; “net value of the estate for inheritance tax” means the aggregate of— GV – L where— GV is the gross value of the estate for inheritance tax, and L, subject to paragraph (7B), is the total liabilities of the estate; “net qualifying value of the estate” means the aggregate of— NV – EVT where— NV is net value of the estate for inheritance tax, and EVT, subject to paragraph (4), is the total value transferred on that person’s death by a spouse, civil partner or charity transfer; . 7 In paragraph (7) for “(2)(d) and (e) and (3)(d) and (e)” substitute “(2)(d), (3)(d) and (6)”. 8 In paragraph (7A) for “(2)(d) and (e), (3)(d) and (e) and (6)” substitute “(2)(d), (3)(d), (5) and (6),”. 9 In paragraph (7B) for “(3)(f)” substitute “(6)”. 10 Omit paragraph (8). 4 In Regulation 5A (IHT threshold) of the principal Regulations, in paragraph (2) and paragraph (3)(d)(i), for “100 per cent” substitute “the percentage as determined under section 8A(4) of the 1984 Act (subject to section 8A(5) and section 8C of that Act)”. 5 For regulation 6 of the principal Regulations and its heading substitute— Production of information: deceased domiciled in the United Kingdom 6 1 Subject to paragraph (3), and where the circumstances prescribed by regulation 4(2) or 4(3) apply, a person who by virtue of these Regulations is not required to deliver to the Board an account under section 216 of the 1984 Act of the property comprised in an excepted estate, must produce the information specified in paragraph (2) to the Board in such form as the Board may prescribe. 2 The information specified for the purpose of paragraph (1) is— a the following details in relation to the deceased— i full name; ii date of death; and b the following details in relation to the deceased’s estate— i the gross value of the estate for inheritance tax; ii the net value of the estate for inheritance tax; iii the net qualifying value of the estate; and iv a declaration that the estate is an excepted estate. 3 Paragraph (1) does not apply if the information specified in paragraph (2) has been produced in an account under section 216 of the 1984 Act of the property comprised in the excepted estate that has been delivered to the Board. 4 In this regulation “gross value of the estate for inheritance tax”, “net value of the estate for inheritance tax” and “net qualifying value of the estate” have the same meaning as in regulation 4. . 6 After regulation 6 (Production of information: deceased domiciled in the United Kingdom) of the principal Regulations insert— Production of information: deceased domiciled outside the United Kingdom 6A 1 Subject to paragraph (3), and where the circumstances prescribed by regulation 4(5) apply, a person who by virtue of these Regulations is not required to deliver to the Board an account under section 216 of the 1984 Act of the property comprised in an excepted estate must produce the information specified in paragraph (2) to the Board in such form as the Board may prescribe. 2 The information specified for the purpose of paragraph (1) is the following details in relation to the deceased— a full name; b date of death; c marital or civil partnership status; d occupation; e any surviving spouse or civil partner, parent, brother or sister; f the number of surviving children, step-children, adopted children or grandchildren; g domicile and address; h details (including value) of all cash and quoted shares or securities situated in the United Kingdom to which the deceased was beneficially entitled; and i the liabilities of the estate which fall to be discharged in the United Kingdom. 3 Paragraph (1) does not apply to the extent that the information specified in paragraph (2) has been produced in an account under section 216 of the 1984 Act of the property comprised in the excepted estate that has been delivered to the Board. . 7 Before Regulation 7 insert the heading “Production of information to the Board”. 8 1 Regulation 7 of the principal Regulations is amended as follows. 2 In paragraph (1) for “regulation 6(2) and (2A)” substitute “regulation 6(2) or 6A(2)”. 3 In paragraph (3) for “one week” substitute “one month”. Jim Harra Angela MacDonald Two of the Commissioners for Her Majesty’s Revenue and Customs 20th October 2021