# The Inheritance Tax (Indexation) Order 1989

S.I. 1989/468 · made 14 March 1989

By this Order, made under the provisions of section 8 of the Inheritance Tax Act 1984 (formerly the Capital Transfer Tax Act 1984) a new Table of rate bands and rates is substituted in Schedule 1 to that Act for the Table which was substituted by the Finance Act 1988. The figures in the first and second columns of the new Table are the amounts specified in the Table in Schedule 1 to the Inheritance Tax Act 1984 (as so substituted) increased by the amount of the percentage increase (6.8%) in the retail prices index for December 1988 over that for December 1987. The figures are rounded upward to the nearest £1,000 in accordance with section 8(2). The “retail prices index” is defined in section 8(3) as “the general index of retail prices (for all items) published by the Department of Employment”. The retail prices index for December 1987 is 103.3 and for December 1988 is 110.3 (based on January 1987 as 100). (Table 6.4 on pages S60 and S61 of the February 1989 number of the Employment Gazette, the official journal of the Department of Employment.)

Made under: Inheritance Tax Act 1984

PDFs: Printed copy https://openlegislation.uk/inheritance-tax-indexation-order-1989/pdf/uksi_19890468_en.pdf

## Introductory text

INHERITANCE TAX
Made 14th March 1989
The Treasury, in pursuance of section 8(4) of the Inheritance Tax Act 1984, hereby make the following Order:

## 1 

This Order may be cited as the Inheritance Tax (Indexation) Order 1989.

## 2 

The amounts which, unless Parliament otherwise determines, shall be treated by virtue of section 8 of the Inheritance Tax Act 1984 as specified in the Table in Schedule 1 to that Act in relation to chargeable transfers on or after 6th April 1989 are as follows–
TABLE OF RATES OF TAX
Portion of value
Rate of tax
Lower Limit
Upper Limit
Per cent.
£
£
0
118,000
NIL
118,000
—
40

## Signature

Kenneth Carlisle
Alan Howarth
Two of the Lords Commissioners of Her Majesty’s Treasury
14th March 1989

## Explanatory note

(This note is not part of the Order)
By this Order, made under the provisions of section 8 of the Inheritance Tax Act 1984 (formerly the Capital Transfer Tax Act 1984) a new Table of rate bands and rates is substituted in Schedule 1 to that Act for the Table which was substituted by the Finance Act 1988. The figures in the first and second columns of the new Table are the amounts specified in the Table in Schedule 1 to the Inheritance Tax Act 1984 (as so substituted) increased by the amount of the percentage increase (6.8%) in the retail prices index for December 1988 over that for December 1987. The figures are rounded upward to the nearest £1,000 in accordance with section 8(2). The “retail prices index” is defined in section 8(3) as “the general index of retail prices (for all items) published by the Department of Employment”. The retail prices index for December 1987 is 103.3 and for December 1988 is 110.3 (based on January 1987 as 100). (Table 6.4 on pages S60 and S61 of the February 1989 number of the Employment Gazette, the official journal of the Department of Employment.)
The new Table will apply in relation to chargeable transfers on or after 6th April 1989 unless Parliament otherwise determines.

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Source: https://www.legislation.gov.uk/uksi/1989/468 (the official version)
Page: https://openlegislation.uk/inheritance-tax-indexation-order-1989
Contains public sector information licensed under the Open Government Licence v3.0. Source: legislation.gov.uk, The National Archives.