Inheritance Tax

To ask the Chancellor of the Exchequer what the effect on income from inheritance tax would be if the threshold for payment was raised to (a) £500,000, (b) £1 million and (c) £2.5 million. (85375)

[holding answer 14 July 2006]: Raising the inheritance tax threshold with effect from 2007-08 would have the following effect on forecast revenue:

*£ billion*
	Reduction in receipts from raising threshold to
	(a) £500,000	(b) £1 million	(c) £2.5 million
2007-08	0.7	1.2	1.6
2008-09	1.6	2.7	3.4
2009-10	1.7	3.1	3.8
2010-11	1.8	3.3	4.1

Volume 449: debated on Wednesday 19 July 2006