Excepted Estate IHT Calculator 2026

Check if a UK estate qualifies as an excepted estate for IHT. Estates under £500,000 (or £1M with transferred NRB) may avoid IHT400. Simplified probate process.

Excepted Estate IHT Calculator 2026

Check whether an estate qualifies as an "excepted estate" — meaning no IHT400 return is required, significantly simplifying probate.

Gross Estate Value (£) — before deductions Debts and Liabilities (£) Does all estate pass to spouse/civil partner or UK charity? Is the deceased domiciled in the UK? Was the deceased married/civil partner with unused nil-rate band from spouse? Did the deceased make gifts in the last 7 years exceeding £3,000?

Frequently Asked Questions

What is an excepted estate for IHT purposes?

An excepted estate is one where no Inheritance Tax return (IHT400) needs to be filed with HMRC. The estate can still go through probate using a simplified self-certification form (IHT205 in England and Wales, C5 in Scotland).

What is the excepted estate threshold in 2026?

For standard estates: net value must be below the available nil-rate band + residential nil-rate band. Without transferable NRB: £500,000. With a full transferable NRB from deceased spouse: £1,000,000. For spouse/charity estates: gross value must be below £3,000,000.

What changed with excepted estate rules in 2022?

From 1 January 2022, the rules were simplified. Previously, all non-taxpaying estates needed IHT205. Now, estates that would not pay IHT (because they fall within thresholds or are exempt) can use the simplified process regardless of whether they previously needed IHT205.

Can an estate be excepted if there are significant gifts?

Generally no. If the deceased made chargeable lifetime transfers or substantial gifts in the 7 years before death, the estate is likely non-excepted and an IHT400 is required to account for potentially taxable gifts.

What is the IHT threshold for a surviving spouse claiming both nil-rate bands?

A surviving spouse who inherits the full unused nil-rate band from their predeceased spouse can potentially have a combined IHT threshold of £1,000,000 (£325,000 + £325,000 + £175,000 + £175,000). Estates below this can be excepted.

Does the excepted estate rule apply in Scotland?

The same principles apply in Scotland (the equivalent is the 'exempt estate' process using form C5), but the IHT rules are administered by HMRC and apply across the UK. Confirm with a Scottish solicitor/legal practitioner.

How do I certify an excepted estate?

For English/Welsh estates post-January 2022, executors certify on the probate application form (PA1P or PA1A) that the estate falls within excepted limits. IHT205 is no longer always required as a separate document — check current HMRC guidance.

What records should I keep for an excepted estate?

Even for excepted estates, HMRC can ask for supporting information within 35 days. Keep a full asset inventory, bank statements, property valuations, and evidence of gifts. Records should be kept for at least 4 years after death.