UK Inheritance Tax Calculator
Estimate the inheritance tax on your estate for the 2025/26 or 2024/25 tax year. Includes the nil-rate band, residence nil-rate band (RNRB) with taper, spouse exemption, transferable allowances, and the reduced charity rate.
Children, grandchildren, etc. — enables the Residence Nil-Rate Band (RNRB)
Inheritance Tax
£0.00
Rate: 40.00%
Total Allowances
£500,000
NRB + RNRB (after taper)
Effective Rate
0.00%
IHT as % of estate
| Item | Amount |
|---|---|
| Total Estate Value | £500,000 |
| Net Estate | £500,000 |
| Nil-Rate Band (NRB) | −£325,000 |
| Residence Nil-Rate Band (RNRB) | −£175,000 |
| Taxable Estate | £0 |
| Inheritance Tax @ 40.00% | £0.00 |
Frequently Asked Questions
What is the inheritance tax threshold in the UK?
The standard IHT nil-rate band (NRB) is £325,000. Estates below this threshold pay no inheritance tax. If you leave your main residence to direct descendants (children, grandchildren), you also get the Residence Nil-Rate Band (RNRB) of £175,000, giving a total threshold of up to £500,000. Married couples and civil partners can transfer unused allowances, potentially giving a combined threshold of up to £1,000,000.
What is the Residence Nil-Rate Band (RNRB)?
The RNRB is an additional £175,000 allowance available when your main residence is left to direct descendants. However, it tapers away for estates over £2,000,000 — reducing by £1 for every £2 over £2M. It is fully removed at an estate value of £2,350,000. The RNRB is also transferable between spouses.
How does the charity rate reduction work?
If you leave at least 10% of the "baseline amount" (broadly, the net estate minus the nil-rate band) to charity, the IHT rate is reduced from 40% to 36% on the taxable estate. This can sometimes mean that leaving more to charity actually reduces the overall IHT bill and leaves more for other beneficiaries.