The amount of inheritance tax paid on cash gifts has surged over 153% in a decade, with over 1,300 estates now paying the levy

Families attempting to help their loved ones with monetary gifts are being caught in the inheritance tax (IHT) web due to intricate bureaucratic regulations. New data released by HMRC shows a staggering 153% increase in IHT paid on cash gifts over the past decade.

A Freedom of Information request by financial advisers Continuum reveals that in 2020-21, the taxman raked in £256 million in IHT on gifts, a significant leap from the £101 million collected in 2011-12. The number of estates shelling out the levy on gifts has also skyrocketed by more than 120%, escalating from 590 to 1,300 during the same timeframe.

Even the average IHT bill on gifts has seen a

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