Inheritance tax exemption net cast wider

Inheritance tax exemptions will apply to all decorations and medals awarded to the armed services or emergency services personnel, and to awards made by the Crown for achievements and service in public life with immediate effect.

Today’s (3 December) Autumn Statement revealed legislation will also be introduced to extend the existing inheritance tax exemption for members of the armed forces whose death is caused or hastened by injury while on active service to members of the emergency services or humanitarian aid workers responding to emergency circumstances.

It will have effect for deaths on or after 19 March 2014.

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Chancellor George Osborne said in his speech: “Today I am extending our inheritance tax exemption to cover our aid workers who lose their lives in dealing with humanitarian emergencies.

“Libor fines will continue to support our military and emergency service charities with support for our armed services benevolent charities, the Ghurkhas, and £10m for veterans with hearing problems.”