What is a quick succession relief for inheritance tax?
Answered 17 March 2026
Here is a comprehensive explanation of Quick Succession Relief (QSR) for Inheritance Tax:
Quick Succession Relief (QSR) for Inheritance Tax
What the law says
Quick Succession Relief is provided by section 141 of the Inheritance Tax Act 1984 (IHTA 1984). The key statutory rules are as follows:
Trigger condition: Where the value of a person's estate was increased by a chargeable transfer ("the first transfer") made not more than five years before either (a) their death, or (b) a chargeable transfer made by them otherwise than on death (in limited settled property circumstances), the IHT chargeable on the later transfer is reduced by a calculated amount.
The sliding scale of relief — the reduction is a percentage of the tax charged on so much of the value transferred by the first transfer as is attributable to the increase in the estate:
| Period between first and later transfer | Percentage reduction |
|---|---|
| Not more than 1 year | 100% |
| More than 1 year, up to 2 years | 80% |
| More than 2 years, up to 3 years | 60% |
| More than 3 years, up to 4 years | 40% |
| More than 4 years, up to 5 years | 20% |
Multiple later transfers: Where there is more than one later transfer in relation to the same first transfer, the reduction is given only in respect of the earliest later transfer, unless the reduction is less than the whole of the tax charged — in which case reductions may be made against subsequent transfers (in chronological order) until the full tax has been absorbed.
Reversionary interests excluded: In determining whether and to what extent the value of the transferor's estate was increased by a chargeable transfer, any excluded property consisting of a reversionary interest to which the transferor became entitled on or before the occasion of the chargeable transfer is disregarded.
HMRC guidance / practice
Purpose: QSR prevents the same assets being taxed twice in quick succession where property passes through two estates within five years.
The formula: HMRC applies the following formula to calculate the relief:
(A ÷ D) × B × C
- A = Amount by which the earlier transfer increased the deceased's estate (net value after tax)
- B = Tax on the earlier chargeable transfer
- C = Appropriate percentage (based on the time elapsed)
- D = Value of the earlier chargeable transfer
Calculating the increase (A): The "increase" means the net value after tax of the assets that became the deceased's as a result of the earlier chargeable transfer. The Will must be read carefully to check entitlement, including any codicils or instruments of variation.
Worked example: Tonya gave Belinda £350,000 in August 2007. Tonya died in January 2010, making the PET chargeable (£344,000 after exemptions). Tax of £7,600 was paid by Belinda. Belinda died in July 2011 (within 5 years). The net increase to Belinda's estate was £336,400 (£344,000 − £7,600 tax). The QSR was: (£336,400 ÷ £344,000) × £7,600 × 80% = £5,946.
Interaction with double taxation relief: Where QSR is allowed, the amount of IHT attributable to the property for double taxation relief purposes is the net amount after allowing QSR.
Settled property: There is a limited form of QSR for successive charges on settled property within the five-year period, but only where the second charge is on the lifetime termination of a qualifying interest in possession, and the first charge increased the estate of the person with that interest in possession.
In summary: QSR is a tapering relief that reduces the IHT on a second death (or qualifying transfer) where the same property has already borne IHT within the preceding five years. The relief is highest (100%) where the two events occur within one year, and reduces to 20% where they are between four and five years apart.
Citation sources
PART V MISCELLANEOUS RELIEFS CHAPTER V MISCELLANEOUS Successive charges Two or more transfers within five years. 141 1 Where the value of a person’s estate was increased by a chargeable transfer (“the first transfer”) made not more than five years before— a his death, or b a chargeable transfer which is made by him otherwise than on his death and as to which the conditions specified in subsection (2) below are satisfied, the tax chargeable on the value transferred by the transfer made on his dea
You allow quick succession relief (QSR) (IHTM22041) by reducing the tax charged on the whole of the death estate by a percentage of the tax charged on the earlier transfer so far as that transfer increased the deceased’s estate. If the tax charged on the earlier transfer was on settled property in which the deceased had an interest in possession (IHTM16061), very exceptionally you will have to restrict the QSR on the deceased’s death because part of the tax has been allowed against a lifetime tr
Tonya gave Belinda £350,000 cash in August 2007. Tonya died in January 2010. She had made no other lifetime transfers. On Tonya’s death the PET became chargeable. After annual exemptions the chargeable transfer was £344,000. The tax of £7,600 was paid by Belinda, as she was the person liable to pay it. Belinda dies in July 2011. Quick succession relief (QSR) is now due as there was an increase in Belinda’s estate and is calculated on the basis that the earlier transfer became chargeable at the d
eds four years. 4 Where in relation to the first transfer there is more than one later transfer, the reduction provided for by this section shall be given only in respect of the earliest of them, unless the reduction represents less than the whole of the tax charged as mentioned in subsection (3) above; and in that case a reduction may be made in respect of subsequent transfers (in chronological order) until reductions representing the whole of that tax have been made. 5 For the purposes of subs
Where a person is entitled to an interest in another person’s estate (IHTM04043) and they die before the administration of that earlier estate was completed you will need to calculate the value of the unadministered estate as part of the estate you are looking at now. Where inheritance tax was payable in connection with the earlier death you may be able to allow some of that tax as a relief against the tax payable on the second estate. There is a similar relief on lifetime transfers (IHTM04051)
their value and evidence of payment to the foreign tax authority – e.g. official receipt As stated above, the relief cannot exceed the amount of Inheritance Tax (IHT) charged with respect to the particular item of property. For these purposes, the IHT attributable to any asset that is wholly exempt from IHT is nil. Where the item is partly exempt, any IHT charged will be attributed to the chargeable part. Where Quick Succession Relief (IHTM22041) is allowed, the amount of IHT attributable to t
The last figure you need for your quick succession relief (QSR) (IHTM22041) calculation is the amount by which the earlier chargeable transfer (IHTM04027) increased your deceased’s estate. This means the net value after tax of the assets that became the deceased’s as a result of the earlier chargeable transfer. Where the earlier transfer was on death read the Will carefully to check what your deceased was entitled to. Look out for any codicils or post-death changes in the distribution of the ear
There is a limited quick succession relief (QSR) (IHTM22041) for successive charges on settled property (IHTM16000) within the standard five year period. The requirements are the second charge must be on the lifetime termination of a qualifying interest in possession (IHTM16061), and the first charge must have increased the estate of the person with that interest in possession have been when, or after, the settlement was created, and be determined by reference to the value of the same settled