Investing in assets that receive inheritance tax relief so do not form part of your estate
The types of business that typically qualify for Business Property Relief (BPR):
- Shares in an unquoted qualifying company, even a minority holding
- Shares in a qualifying company listed on the Alternative Investment Market (AIM)
- An unincorporated qualifying trading business, or an interest in one – a partnership, for example
- Enterprise Investment Schemes
BPR reduces the value of a business or its assets when working out how much Inheritance Tax has to be paid.
Any ownership of a business, or share of a business, is included in the estate for Inheritance Tax purposes.