Natural England - Heritage landscapes conditionally exempt from inheritance tax
Home
Our work
Landscape
How are landscapes protected?
Historic environment and cultural landscapes
Heritage landscapes conditionally exempt from inheritance tax
Heritage landscapes conditionally exempt from inheritance tax
Successive governments have considered 'land of outstanding scenic, historic and scientific interest' worth maintaining and preserving for the benefit of future generations.
Continued private ownership of heritage property, managed and protected through capital tax relief, is one of the best ways of ensuring its survival, while allowing the public access.
-
For such a small country, our rural landscapes are extraordinarily diverse. They are much loved and long appreciated and for many people are central to our national identity.
-
Natural England advises HM Revenue & Customs and landowners whether land is eligible for conditional exemption and on appropriate conditions (known as undertakings).
-
Capital tax exemption is available for land of 'outstanding scenic, historic and scientific interest'. Assessment of outstanding land is a complex, analytical process. General criteria are as follows.
-
What are the benefits of this scheme?
Capital tax, presently 40%, is charged when land is transferred to a new owner. Sometimes heritage assets have to be sold or collections of individual assets are broken up to pay the tax. Less money is available to spend on maintenance of the heritage land, which in turn reduces the amount and quality of the nation’s privately owned stock of outstanding land.
-
Undertakings and Heritage Management Plans
Owners formally agree with HM Revenue & Customs the detailed steps (undertakings) necessary to maintain the land and preserve its character.
-
How to apply and relevant guidance
To apply for capital tax exemption owners need to contact HM Revenue & Customs who are responsible for designation.
-
Heritage Management Plan grants
An incentive for landowners to prepare Heritage Management Plans (HMPs) that deliver integrated sustainable management of outstanding land designated or in process of designation as conditionally exempt from inheritance tax.
