Forests: Inheritance Tax

Woodlands can qualify for relief from inheritance tax. That relief may be Agricultural Property Relief (APR) if the woodlands were occupied and used with agricultural land, such as a shelter belt. Alternatively, Business Property Relief (BPR) may be available where the woodlands were actively used for commercial purposes, subject to certain conditions. Furthermore, Woodlands Relief may apply where the woodlands don’t qualify for APR and BPR. This relief defers the charge to inheritance tax on the value of trees (not the value of the land) transferred on death to the point at which the trees are disposed of.