Following a super query raised by a QLAW visitor, we just wanted to clarify that a lifetime gift (potentially exempt transfer or PET) does NOT give rise to an immediate Inheritance Tax (IHT) charge. Further, when it comes to calculating the IHT charge on death, subject to the application of Taper (or other) relief & exemption, the PET is simply treated as an asset of the estate, and the overall IHT burden calculated on it. The query kindly raised by the QLAW visitor was whether PETs were treated in isolation and outside of the overall estate (and related IHT burden).