UK inheritance tax form IHT403 for lifetime gifts, with a pocket watch representing the seven-year rule

UK Inheritance Tax for Australians: 2025 Rules, Tail Risk and Planning

If you are an Australian living in the United Kingdom (UK), returning to Australia after time in the UK, or you have UK assets through family, there is one topic that catches people badly off guard, UK Inheritance Tax (IHT). This guide is the plain-English version of what matters now, what tends to go wrong, and the practical steps to take before a family event forces you to learn some hard lessons inadvertently.