If you are married, Inheritance Tax usually becomes payable on the death of the second person. For a married couple you will benefit from having two Inheritance Tax allowances known as the Nil Rate Band of £325,000 each plus an additional Residence Nil Rate Band of £175,000 each subject to your main residential home passing to your children. Single people will only benefit from the standard Nil Rate Band of £325,000 (unless you also have children). With property valuations way in excess of these allowances, most estates will end up incurring Inheritance Tax and this will reduce the amount you leave to your loved ones.