Duties before Finance Act 1894 History of inheritance taxes in the United Kingdom

probate duty introduced part of stamps act 1694, in order finance england s involvement in war of league of augsburg. applied probates of wills , letters of administration personal estates valued greater £20, @ fixed duty of 5 s.. converted graduated rate in 1780 lord north, consequence of financing british activity in american revolutionary war. penalties failing file probate or administration documents introduced in 1795, , accounts calculating liability first required in 1805. probate , administration unknown in scotland, inventory duty introduced in 1804 provide similar liability there. ireland introduced probate duty separately in 1774.

legacy duty imposed in 1780, upon receipts or discharges given respect legacy. receipts not in practice given or required, revenues insignificant until william pitt younger reformed regime require executors account property in question, varying rates according type of collateral succession. further measures , later court decisions clarified duty s extent.

probate , legacy duty focused on legacy of estate, opposed devise, excluding real property taxation. neither duty captured property passing way of settlement, outside scope of probate , administration. succession duty introduced william gladstone measure capture more unearned wealth @ point of succession not otherwise chargeable legacy duty. in regard, real property included in scope, on life interest therein, opposed full market value. leasehold interests excluded legacy duty, having them fall within new duty.

the administration of legacy , succession duties integrated in 1881, requirement no probate or letters of administration granted court if court officer cannot certify affidavit has been filed stating estate s value , stamped liability duty shown. relief legacy , succession duties @ rate of 1% allowed on such affidavits , inventories filed , stamped, , penalty equal double amount of duty due imposed on person failing file them on time. account duty introduced, charging gifts , voluntary settlements taxed.

additional succession duties introduced in 1888:

on successor lineal issue or lineal ancestor of predecessor, 10 s. per centum (0.5%)
in other cases, £1 10 s. per centum (1.5%)
but additional duty not apply interests in leaseholds passing or devolution law, nor property subject account duty

corporation duty imposed in 1885, , temporary estate duty in 1889 (intended last until 1896), encompass activities previous duties had not captured.

cite error: there <ref group=lower-alpha> tags or {{efn}} templates on page, references not show without {{reflist|group=lower-alpha}} template or {{notelist}} template (see page).