Here's why King Charles III will not pay inheritance taxes on a $750 million property
King Charles III and Queen Camilla visit Scotland for events relating to his accession
King Charles III and Queen Camilla visit Scotland for events relating to his accession.
After ascending to the throne following the death of Britain's longest-serving monarch, Queen Elizabeth II, King Charles III is exempt from paying taxes on his royal inheritance.
The king will not have to pay estate taxes on the newly inherited Duchy of Lancaster property valued at over $750 million. The 45,000-acre estate brought in more than $27 million for the queen last year and includes a luxurious hotel.
A law passed by Parliament in 1993 exempts the king from paying taxes on property inherited from the passing of another monarch. In the United Kingdom, the inheritance tax is 40% and applies to estates valued at over $377,000.
Since 1993, however, Queen Elizabeth did pay capital gain taxes on Lancaster, but it is unclear if the king will continue in his mother's footsteps. Without the 1993 law, Charles would have paid nearly $200 million in taxes on the property.
QUEEN ELIZABETH II REMEMBERED AS KING CHARLES III ASCENDS THE BRITISH THRONE