Inheritance Tax
What is the Charity Exemption from Inheritance Tax?
Gifts to qualifying charities are exempt from Inheritance Tax, with no upper limit. This applies both to gifts made during the deceased’s lifetime and to assets left to charity in their Will.
How the exemption works
Where a qualifying charity receives assets from an estate, the value of those assets is deducted from the taxable estate. This reduces the net taxable figure and can reduce or eliminate the IHT liability.
The reduced rate for charitable estates
Where at least 10% of the “baseline amount” (the net estate after the nil rate band and other deductions) is left to qualifying charities, the IHT rate on the remainder reduces from 40% to 36%. The calculation to determine whether the 10% threshold has been reached is complex.
YouCanDoProbate does not calculate the reduced rate, but it still produces all the other Probate and Inheritance Tax forms, and applies the standard charity exemption automatically. The reduced rate claim itself would need to be completed independently, outside the platform. If a significant charitable legacy is included in the Will and you believe the 10% threshold may apply, speak to our team before starting.
What qualifies as a charity?
Charities registered in England, Wales, Scotland or Northern Ireland, and certain other bodies including community amateur sports clubs. For deaths on or after 6 April 2024, only UK charities qualify. For deaths before that date, charities in EU or EEA countries could also qualify, subject to conditions.
Charitable gifts made under the Will are captured in the platform walkthrough and the standard charity exemption is applied in the IHT400 automatically.
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Clear, easy to follow information and instructions on the website; helpful, knowledgeable and friendly staff who were quick to respond to all of my queries either on the phone or by email; really speeded up and simplified the process of applying for probate.
This was my 1st time having to apply for probate and it looked pretty daunting. I found YCDP platform online and it made the task easy to follow. Saved me a lot of money not using solicitors. The courts received the application on the 15 April and I received the Grant of Probate 3 weeks later. Fantastic service which I would highly recommend this company.
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Straightforward and easy to use system. Definitely recommended.
Worth every penny! Does what it says on the can! Probate took three weeks and two days to be granted from posting the form. Thousands of pounds saved!!!
Title : I cannot recommend YouCanDoProbate more for a dedicated and high quality service ! When I first registered with YouCanDoProbate I was dubious: as it was an on-line format and I am incredibly poor with anything electronic, but I need not have worried. As soon as I sent a pleas for help my emails were answered and followed up with a phone call from Tom or Adam on the same day, and often within an hour ! They both had lots of patience and understood my concerns (which were really minor issues !) I was never felt to feel foolish and always treated with respect and professionalism. I had recently helped my brother to obtain probate when his wife passed away, and he paid thousands of pounds to a Solicitor for much less than I have had to do with my case. I only hope my application is accepted, and I now have substantial records to refer to regarding the estate due to this process.
Easy to use. Questions by email replied in the same day.
I was dreading Probate but ‘You Can Do Probate’ really made things easier. If I had any problems I could request a call to help me with questions. I requested a call about 3 times, and each time somebody call me and sorted out my questions and put my mind as ease. I think I spoke to Tom a couple of times very helpful. You can do bits at a time you don’t have to do the whole thing all at once. Thoroughly recommend. Glad I came across this site.
You Can Do Probate has saved me thousands of pounds. The system is incredibly easy to use. You do need to do your research so that you can answer the questions honestly and accurately, but everything you need is either included in the guidance in the system itself or readily available on the gov.uk website. The system also does a “sanity check” before you commit to paying for the license, to check that the system is suitable for your specific needs. So, you know before you commit whether the system is suitable for your specific circumstances. I submitted the forms prepared for me by You Can Do Probate and received my grant of probate 7 weeks later. Very happy.
i had talked to a solicitor to do the probate, he wanted 1 to 5 % of the value of the house approx £4,000 to £20,000 pounds then i found youcandoprobate.co.uk online, for £325 so instead of telling the high cost solicitor all the details he needed to know, i just wrote them same details on the online forms, and any questions i had were only a phone call away and each question was answered. as you go through the online forms every thing is worked out for you and you print the forms off at the end and send them off. this as an excellent service and have no hesitation in recommending them, they are brilliant
System was priced sensibly and easy to use
I have rated this 5 star because I thought the process of data input was logical and made it very easy for a first time probate. I’m not an expert and I’m not fully aware of all the features, I would have liked the ability to have a data input set to have in case the probate office raised questions.
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