I want to keep a relatives house I’ve inherited, it attracted significant Inheritance tax that I can pay over 10 years. If I rented it out would the annual inheritance tax payment be deductible? It’s quite a specific scenario but I wondered if anyone else had walked this road. Cheers
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No, it wouldn’t be. They are completely separate taxes. You can only deduct costs relevant to running a property business and a IHT liability isn’t a property related expense.
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nice try Jacqueline3. If it were so, that it could be set against tax , we would all do it for our kids. This is a no entry road.
To be fair to Jacqueline3, the UK taxation system has been heavily geared towards dodging taxes on wealth and assets for centuries. No need to get in to the whys and wherefores.