Chancellor hints he could announce cut to inheritance tax in Budget
The Chancellor has hinted that he could announce a cut to inheritance tax in his Budget later this year.
Sajid Javid said he understands the arguments against the death duty and said that reforming it was “something that’s on my mind”.
Asked during a fringe event at the Conservative Party conference if he would consider getting rid of inheritance tax, he replied: “First of all, we’ve already made some sensible reforms in that tax.
“But I hear what you’re saying – you’re not the only one – and I shouldn’t say too much now but I understand the arguments against that tax…
“You pay taxes already through work or through investments and your capital gains in other taxes, there is a real issue with then asking them to, on that income, to pay taxes all over again.
“Sensible changes have already been made but it’s something that’s on my mind.”
Mr Javid, who was speaking at an Institute of Economic Affairs fringe event at the Manchester conference, also confirmed that there would be a Budget before the end of the year.
Inheritance tax is paid when a person’s estate is worth more than £325,000 when they die, and they do not leave everything above the threshold to their spouse, civil partner, a charity or a community amateur sports club.