Inheritance tax treatment of gifts when first parent dies?

I note the rules around gifting and 7yr period etc. What I can't see anywhere is whether any gift becomes liable for Iht when the first parent dies or whether it only becomes a factor when the second parent dies (assuming the first parent leaves their estate to their surviving spouse). A simple example that hopefully illustrates my query: a gift of £80k is made to children from their parents. One parent dies shortly after leaving their assets to their spouse. The second parent dies 8 years later and the estate is worth exactly £650k and left to surviving children. Is there any Iht to pay or not?

Hi,
Please contact the Inheritance Tax team for advice.
Inheritance Tax: general enquiries
Thank you.