UK Inheritance Tax Calculator (2026)
Enter the total estate value, the value of the home passing to direct descendants, whether transferable allowances apply from a late spouse or civil partner, and any charitable giving to see an estimated Inheritance Tax bill, with the full step-by-step working shown. Free, instant, and calculated entirely in your browser; no email or phone number required.
Estimated Inheritance Tax Due
£120,000.00
40% rate · estimate only, not a tax assessment
Taxable estate
£300,000.00
Probate fee
£526.00
Nil-rate band
£325,000.00
Residence nil-rate band
£175,000.00
This tool estimates the standard Inheritance Tax calculation only: a £325,000.00 nil-rate band, a residence nil-rate band of up to £175,000.00 (tapered above a £2,000,000.00 estate after debts, and never more than the home's value), any unused share of a late spouse's or civil partner's allowances, and a 40% rate (36% if 10% or more goes to charity). It does not model business or agricultural relief, trusts, gifts in the 7 years before death, the downsizing addition, or pension funds (which come into the estate from 6 April 2027).
How Inheritance Tax Is Calculated
Inheritance Tax (IHT) is charged at 40% on the part of an estate above the available tax-free allowances, or 36% if 10% or more of the net estate is left to charity. Two allowances normally apply:
- Nil-rate band (NRB): £325,000.00 per person, available to every estate regardless of what it contains.
- Residence nil-rate band (RNRB): up to £175,000.00, available when a home (or share of one) passes to direct descendants such as children, grandchildren, or step, adopted, and foster children. It is capped at the value of the home actually left to descendants, so a cheaper home (or a smaller share) unlocks less.
The RNRB tapers away for larger estates: the allowance is reduced by £1 for every £2 the estate (after debts) is worth over £2,000,000.00, so it disappears completely once an estate is large enough (around £2.35m with a single RNRB, higher for a couple). The taper comes off the allowance first, and the RNRB is then the lower of that reduced allowance and the value of the home left to descendants (sections 8D and 8E of the Inheritance Tax Act 1984).
Worked examples
| Estate after debts | Home to descendants | Allowances | Working | Tax |
|---|---|---|---|---|
| £800,000 | £300,000 | £325,000 + £175,000 | 40% × £300,000 | £120,000 |
| £900,000 | None | £325,000 + 60% unused from a late spouse = £520,000 | 40% × £380,000 | £152,000 |
| £2,100,000 | £100,000 | £325,000 + RNRB: £175,000 less £50,000 taper = £125,000, capped at the £100,000 home | 40% × £1,675,000 | £670,000 |
| £2,200,000 | £500,000 | £650,000 + RNRB: £350,000 less £100,000 taper = £250,000 (widowed, both bands 100% unused) | 40% × £1,300,000 | £520,000 |
A surviving spouse or civil partner can inherit any unused percentage of their late partner's NRB and RNRB, so a married couple can have up to £650,000.00 NRB plus £350,000.00 RNRB combined, a maximum of £1,000,000.00 tax-free before the taper. Transfers to a spouse or civil partner (limits apply if they are not long-term UK resident), and to charities, are normally exempt from IHT and are not counted as part of the taxable estate.
The NRB, RNRB, and the £2m taper threshold are all frozen at these levels until April 2031. The official rules are published at gov.uk: Inheritance Tax. See the full Inheritance Tax guide for how and when it is paid, the inheritance tax threshold page for more on the NRB, RNRB, and transferable allowances, and the 7-year rule on gifts for how lifetime gifts (potentially exempt transfers) are treated if the giver dies within 7 years. The UK wills and probate hub covers the wider process of administering an estate.
Probate and Confirmation Fees
Applying for probate in England and Wales costs £526.00 (from 13 July 2026) when the estate passing under the grant is worth more than £5,000 after debts; smaller estates pay nothing. In Scotland, confirmation costs nothing for estates up to £50,000, £351 up to £250,000 and £705 above that (from 1 April 2026, rising to £362 and £726 on 1 April 2027), based on the estate before debts are taken off. Northern Ireland sets its own probate fees, so check the current fee on nidirect. The calculator shows the fee for the nation you choose. Assets held jointly that pass automatically to the other owner do not usually count towards the probate estate, so the fee can be based on a smaller figure than the one used for Inheritance Tax.
What This Calculator Does Not Cover
This tool applies the standard NRB/RNRB calculation only. It does not model business relief or agricultural relief (which can remove qualifying business or farming assets from the estate, in whole or in part), trusts, or the detailed 7-year taper relief on lifetime gifts made before death. It also does not reflect the change starting 6 April 2027, when most unused pension pots and death benefits will be brought into the estate for Inheritance Tax purposes for the first time; that change is not yet in force and this calculator does not apply it. Because of these factors, Inheritance Tax is complex and this figure is an estimate of the standard calculation, not a tax assessment. Use HMRC's own tools and guidance or take advice from a solicitor or accountant before relying on any figure for an actual estate.
Frequently Asked Questions
How accurate is this Inheritance Tax calculator?
It applies the standard-rate formula to the figures you enter: the nil-rate band, the residence nil-rate band and its taper, transferable allowances, and the 36% charity rate. It is still an estimate, because it does not model business relief, agricultural relief, trusts, or the detailed 7-year taper on lifetime gifts, all of which can change the final figure for a real estate.
What is the residence nil-rate band and when do I get it?
It is an extra allowance, currently up to £175,000, on top of the £325,000 nil-rate band, available when a home (or a share of one) passes to direct descendants such as children or grandchildren. It is capped at the value of the home actually left to descendants, and it tapers away for estates worth more than £2,000,000.
How much does probate cost?
The court fee to apply for probate in England and Wales is £526 (from 13 July 2026) if the estate is worth more than £5,000, and nothing below that. In Scotland, confirmation is free up to £50,000, then £351 up to £250,000 and £705 above, based on the estate before debts (rising to £362 and £726 on 1 April 2027). Solicitors or other professionals charge separately if you use one.
Can a married couple really get up to £1,000,000 tax-free?
Yes, in the right circumstances. If the first spouse or civil partner to die left their full nil-rate band and residence nil-rate band unused (for example, by leaving everything to the survivor), the survivor’s estate can inherit both, giving a combined £650,000 nil-rate band plus £350,000 residence nil-rate band.
Does leaving money to charity always reduce the tax rate to 36%?
The reduced 36% rate applies only where the gifts to charity are at least 10% of the "baseline amount": broadly, the estate after debts, exemptions, reliefs and the available nil-rate band, with the charity gifts added back. This calculator treats the 10%-or-more test as a simple toggle; HMRC calculates the real net-estate test in full during probate.
Is the pension change from 2027 included in this calculator?
No. From 6 April 2027, most unused pension pots and death benefits are due to be brought into the estate for Inheritance Tax, but that change is not yet in force and is not included in this calculation. Check gov.uk for the latest position closer to that date.
Does this tool store or send my information anywhere?
No. All of the math runs in your browser. Nothing you type into this calculator is saved, transmitted, or used to contact you.
This calculator estimates the standard UK Inheritance Tax calculation published at gov.uk/inheritance-tax. It is general information, not legal, tax, or financial advice, and RecordingLaw.com is not affiliated with HMRC or the UK government. Inheritance Tax is complex and this figure is an estimate only; it never guarantees what will actually be paid on any specific estate. Use HMRC's own calculators and guidance, or take professional advice, before relying on any figure.
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