Sep 11, 2022 - World

King Charles III won't have to pay inheritance tax

Sri Ravipati

King Charles waving — King Charles III arriving at Buckingham Palace on Sept. 9. Photo: Daniel Leal/AFP via Getty Images

In the wake of Queen Elizabeth II's death last Thursday, King Charles III inherited a realm of wealth and he doesn't have to pay inheritance tax on any of it.

Driving the news: A rule introduced in 1993 by the U.K. government safeguards the royal family's assets from being wiped out if two monarchs were to die in a short period of time, Business Insider reports.

The Queen Mother passed away 20 years ago in 2002, exercising the first part of the provision.

By the numbers: Charles inherits the Duchy of Lancaster estate, which racked in $27 million in revenue for the Queen last year.

The Crown Estate, estimated to be worth over $34.3 billion in assets, will now belong to Charles III, CBS reports.
Prince William, Charles' eldest son, inherited the $1 billion Duchy of Cornwall estate from him.

Why it matters: Members of the royal family do not have to pay the 40% levy on property valued at more than $377,000 while their constituents do.

However, the Queen started paying income and capital gains tax on the estate in 1993 of her own accord. Charles may decide to do the same.

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King Charles III won't have to pay inheritance tax

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