Will Your Rental Business Qualify For BPR?

What is Business Property Relief (BPR) and when can you claim BPR?

Business Property Relief is an important tax relief for Inheritance and Estate Tax planning. This reduction can be 50% or 100% on the qualifying business asset depending on the circumstances. The relevant business asset must have been owned for two years prior to the date of death and it must be wholly or mainly for business activities (more on this later).

Unquoted shares will qualify for 100% reduction if the above conditions apply, while quoted shares, with a controlling interest, will attract a 50% reduction. Additionally, any business assets owned by a company the deceased controlled, or that were controlled by a partnership of which they were a member will qualify for a 50% reduction on Inheritance Tax payable.