IHTM30191 | Instalment option: introduction
From HM Revenue & Customs · Inheritance Tax Manual
Payment of tax by instalments is allowed, as an exception to the general rules () for the payment of tax, in the circumstances specified in to 229. is a very limited and self-contained provision relating to woodlands () and is dealt with separately. The broad effect of and is that:
on a chargeable transfer made on death and in limited circumstances on other occasions of charge
the tax attributable to the value of specified qualifying property (which is not exactly the same on all occasions of charge)
may be paid by ten equal annual instalments ()
if the person paying the tax gives notice in writing ()
but the right to pay by instalments ceases on sale of the qualifying property ().
and are supplemented by which provides some interest relief () for instalments of tax on certain categories of qualifying property.