Hi,
Inheritance tax is a tax on the estate (property / money / possessions) of someone who has died.
There is normally no inheritance tax to pay if the value of the estate is below the threshold of £325,000.
Inheritance tax is only due when a person's estate is worth over £325,000 when they die, or if the person who died gave away more than £325,000 in gifts in the 7 years before they died.
Gifts made in the last 7 years before someone dies, use up the £325,000 tax free allowance first, but if the gifts received are less than the £325,000 inheritance tax free allowance, any unused threshold can then be used by the estate of the person who has died.
If the person who died owned their home (or a share in it) the tax free threshold could be increased to £500,000.
You can find out more information here:
Work out Inheritance Tax due on gifts
Thank you.