David Cameron “effectively” inherited half a million pounds without paying a penny in tax, it has been revealed.
The PM received £200,000 from his mother after his father’s death which will only become liable to inheritance tax of up to 40 per cent if she dies within seven years of handing over the money.
The records show two £100,000 payments were made a year after Cameron inherited £300,000 from his father. Had he received the half a million pounds in one lump sum he would have been liable to pay the inheritance tax because it would have been over the tax threshold of £325,000.
Shadow chancellor John McDonnell said the prime minister had “effectively inherited £500,000 from his mum and dad and not paid a penny on it,” which, he said, showed there was “something wrong with the system”.
The revelations come after the Prime Minister released a summary of his tax returns from 2009-15 to try and defuse rows over his personal finances.
