Inheritance tax receipts have surged by 22.9% in the first quarter of the tax year, HMRC figures show, prompting a Financial Planner to warn of the possible ‘catastrophic effect on family wealth’.

The latest stats showed more than £2bn has been taken from people’s estates since March.

The receipts were:

• March £483m
• April £532m
• May £556m
• June £440m

Sean McCann, Chartered Financial Planner at NFU Mutual, said that since the government’s flagship inheritance tax policy - the new Residents Nil Rate Band – was introduced in April, Inheritance Tax receipts have leapt by £285 million when compared to the same time last year.

He said: “It’s clear that the taxman is cracking down hard on inheritance tax by looking more closely at people’s estates and challenging claims for reliefs.

“When inheritance tax receipts rise, it’s usually because of a buoyant housing market. Now, with property prices stagnating, it’s difficult to see what could have caused such a sharp increase in receipts other than a more aggressive approach to inheritance tax.

“The extra scrutiny from tax officials means those who haven’t taken professional advice or planned early could be caught out. This could have a catastrophic effect on family wealth.

“IHT is one of the more complex taxes and there are plenty of traps to fall foul of – as many families appear be finding out.”

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