<b>Budget 2006: </b> Inheritance tax thresholds rise. By John Newth
The chancellor has announced increases in the inheritance tax exemption limit.
The exemption limit will rise by stages from £275,000 in 2005/2006 to £325,000 in 2009/2010.
The new exemption limits and the percentage increases from the previous year are as follows:
2006/2007 £285,000 - 3.63%
2007/2008 £300,000 - 5.26%
2008/2009 £312,000 - 4.00%
2009/2010 £325,000 - 4.16%
These increases are, of course, very welcome, but their true impact depends on whether house prices increase or decrease in the next few years.