Probate Tax which was introduced by Finance Act 1993 but later abolished by Finance Act 2001]
A 2% tax, known as Probate Tax, is payable by the personal representative on the entire net value of the deceased's estate (insofar as it passes under the will or intestacy) where that net value is above a certain threshold. Table 1, page 16, sets out the thresholds applying since the tax was introduced in 1993. The payment is made to the Capital Taxes Office.
A number of exemptions and reliefs are available. For example, in arriving at the net value of the deceased's assets the value of agricultural land is reduced by 30%. In addition, the Probate Tax referable to assets transferred to a surviving spouse is reduced to nil.