Can extra inheritance tax allowances be claimed?

One individual has written to a financial advice website to enquire about inheritance tax planning.

Thisismoney.co.uk was contacted by the unnamed person, who said that they had heard that they may be able to receive extra inheritance tax allowances on their late father's behalf on their deceased mother's estate. 

The individual added that their father passed away in 2004 and their mother in November of last year.

Replying to the inheritance tax query, financial planner John Kelly said that people can move the nil-band rate between a husband and wife if the deaths occurred after October 9th 2007. This means that there is potentially a double allowance available following a second death.

Mr Kelly noted: "This applies no matter when the first death occurred. The amount transferable is the unused percentage, not amount, on the first death."

In addition, prime minister David Cameron was recently left almost £300,000 in his father's will, exempting him from inheritance tax.