In the wake of Queen Elizabeth II’s death last Thursday, King Charles III inherited a realm of wealth and he does not have to cover inheritance tax on some of it.
Driving the news headlines: A rule introduced in 1993 by the U.K. government safeguards the royal family’s assets from being destroyed if two monarchs were to die in a brief period of time, Business Insider reports.
- The Queen Mother passed on 20 years back in 2002, exercising the initial section of the provision.
By the numbers: Charles inherits the Duchy of Lancaster estate, which racked in $27 million in revenue for the Queen this past year.
- The Crown Estate, estimated to be worth over $34.3 billion in assets, will now participate in Charles III, CBS reports.
- Prince William, Charles’ eldest son, inherited the $1 billion Duchy of Cornwall estate from him.
Why it matters: Members of the royal family don’t need to pay the 40% levy on property valued at a lot more than $377,000 while their constituents do.
- However, the Queen started paying income and capital gains tax on the estate in 1993 of her very own accord. Charles should do exactly the same.