Section 8 — Inheritance Tax Act 1984: Indexation of rate bands.

Indexation of rate bands. 8 1 If the consumer prices index for the month of September in any year is higher than it was for the previous September , then, unless Parliament otherwise determines, section 7 above and Schedule 1 to this Act shall apply to chargeable transfers made on or after 6th April in the following year with the substitution of a new Table for the Table applying (whether by virtue of this section or otherwise) to earlier chargeable transfers. 1A . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .

2 The new Table shall differ from the Table it replaces in that for each of the amounts specified in the first and second columns there shall be substituted amounts arrived at by increasing the previous amounts by the same percentage as the percentage increase in the consumer prices index and, if the result is not a multiple of £1,000, rounding it up to the nearest amount which is such a multiple.

3 In this section, “ consumer prices index ” means the all items consumer prices index published by the Statistics Board.

4 The Treasury shall before 6th April 1994 and each subsequent 6th April make an order specifying the amounts which by virtue of this section will be treated, in relation to chargeable transfers on or after that date, as specified in the Table in Schedule 1 to this Act; and any such order shall be made by statutory instrument.