Changes to Planning Rules
Agricultural Property Relief is a relief from Inheritance Tax on death for owners of agricultural property.
It has come to light that changes to the Town and Country Planning (General Permitted Development) Order may mean that buildings that previously would have had Agricultural Property Relief from Inheritance Tax may now not be protected. This is because the changes to the planning rules mean that all agricultural buildings now have “potential development value”. This value is usually more than the agricultural value of the property and may expose the property to Inheritance Tax on death.
It is important for all farmers and others hoping to rely on Agricultural Property Relief review their tax planning arrangements and partnership agreements. It may be possible to protect the higher “potential development value” using Business Property Relief instead or as well as Agricultural Property Relief.
If you would like more information on Inheritance Tax please contact a member of our Private Client Department.
Eastbourne: 01323 727321
Polegate: 01323 487051
Hailsham: 01323 841481