What is inheritance tax and how could it affect me?
Inheritance tax is the tax payable on your estate after you die. If your estate is worth more than £300,000 (2007 onwards) then you will have to pay inheritance tax on anything above that amount.
However, inheritance tax is not payable on any gifts you leave to charity, so you can give your donation in the most tax-effective way.
It is quite common for people to leave the proportion of their estate that is above the inheritance Tax threshold to charity and so avoid paying any inheritance tax altogether.
