Inheritance tax on land

[IloveParis]

Farming partnership (husband, wife and son). Land is owed by husband outside of partnership. We have recently read an article that says that if this is the case then 100% tax inheritance tax relief will not be allowable on the land and that it should be brought into the partnership in order to qualify. Can anybody explain if this is the case and how it works?

 

[Mitchells Bristol]

Hello there

Can you provide a brief description of what the land is used for?
Does the husband rent the land to the farming partnership?

Many thanks

 

[IloveParis]

the land is used in then farming p[artnership although no rent is actually paid.

 

[Bob]

You really need to consult your accountants about this. The amount of tax at stake is too high to rely on any advice that you get on this forum. If you want to read HMRC's opinion on Agricultural Relief, the details are here