Inheritance Tax Act 1984 Schedule 5A Part 1

Compensation payments

Schedule 5A Part 1 lists specific Holocaust-related and Second World War compensation payments that are exempt from inheritance tax, covering payments from various international government funds and settlement programmes.

• Fixed compensation payments from German, Austrian, Swiss, Dutch, and French funds to former slaves, forced labourers, refugees, child survivors, and orphans are exempt from inheritance tax.
• Payments under the Swiss Bank Settlement (Holocaust Victim Assets Litigation) — both for slave/forced labourer claims and for refugees — qualify for exemption.
• One-off payments from the French Orphan Scheme and the German Kindertransport Fund are specifically included as exempt.
• The exemption covers ten named compensation sources, each paying a fixed amount to eligible victims of National Socialism or their qualifying dependants.