Form

How to fill in schedule D37

Updated 6 April 2026

Where agricultural relief and business relief apply to the same property, the claim made should be for agricultural relief.  Business relief may apply to any excess value which does not qualify for agricultural relief. References in this guidance to ‘trust’ and ‘settlement’ are treated as interchangeable terms.

When you should complete this form

You must fill in schedule D37 if you’re deducting Agricultural Relief from some or all of the land included in the transfer. Sending a plan of the property can help HMRC process your form.

You should fill in a separate form for each property.

What you can claim Agricultural relief for

Agricultural property is land or pasture that is used to grow crops or rear animals for food consumption. It also includes buildings that are:

• used alongside the agricultural land or pasture
• farmhouses, cottages and other buildings that are ‘character appropriate’ to the property — they must be proportionate in size and to the nature of the farming activities

Agricultural Relief can be claimed on property if all of the following apply:

• it’s agricultural property
• the property has been owned for either:
  • 2 years and occupied by the transferor or trustee
  • 7 years and occupied by someone else

You do not need to claim relief on the whole property. It can be limited to specific areas of land or buildings.

Find out more about what qualifies for Agricultural Relief for Inheritance Tax.

If the property has not been owned for long enough

You may be able to claim Agricultural Relief if either the:

• transferor inherited the property on the death of another person
• property has replaced other agricultural property

If you think relief may be due, you must tell us why at question 2f.

Check how much relief you can claim

Check the rate of Agricultural Relief for Inheritance Tax.

You should work out the amount of relief due by deducting the relevant percentage from the value of the asset. So, if the property qualifies for 100% relief, you should include the value of the asset in the box 7 of the assets section on the IHT100 series form.

From 6 April 2026, relief at 100% on the combined value of qualifying agricultural and business property is limited by a new relief allowance.  Where the total value of qualifying property exceeds the relevant relief allowance, the excess will qualify for relief at 50%.

The relevant allowance depends on the following circumstances.

For chargeable transfers (including on death) reported on IHT100a and 100b

For chargeable transfers (including on death) reported on IHT100a and 100b, the transferor’s personal allowance is relevant.

This is £2.5 million less the qualifying value of any chargeable transfers made by the individual in the 7 years before this chargeable event.

On death, unused £ 2.5 million allowance from a late spouse or civil partner may be transferred to the deceased’s estate. This applies as long as a claim is made within four years of the survivor’s death or within six months of the personal representatives starting their role

For chargeable events for relevant property settlements reported on IHT100c and IHT100d

If the settlement started before 30 October 2024 and contained agricultural or business property which qualified for 100% relief (other than unlisted shares, such as AIM shares, which now only qualify for 50% relief) then the trust allowance is £2.5 million. This is relevant for chargeable events once the trust is 10 years old on or after 6 April 2026.

If the settlement started after 30 October 2024 or did not have any 100% relievable property (other than unlisted shares, such as AIM shares, which now only qualify for 50% relief) at that date, then you need to calculate the relief allowance available for the settlement for chargeable events on or after 6 April 2026. This is based on the 100% relief available to the settlor on transfer into the trust, limited to a maximum of £2.5 million for all trusts made by the same settlor on or after 30 October 2024.

Trust allowance for chargeable events for relevant property settlements reported on IHT100c and IHT100d

If the settlement commenced before 30 October 2024 and contained agricultural or business property which qualified for 100% relief (other than unlisted shares, such as AIM shares, which now only qualify for 50% relief) then the trust allowance is £2.5 million which is relevant for chargeable events after the first 10-year anniversary on or after 6 April 2026

If the settlement commenced after 30 October 2024 or did not have any 100% relievable property (other than unlisted shares, such as AIM shares, which now only qualify for 50% relief) at that date, then you need to calculate the relief allowance available for the settlement for chargeable events on or after 6 April 2026. This is based on the 100% relief available to the settlor on transfer into the trust, limited to a maximum of £2.5 million for all trusts made by the same settlor on or after 30 October 2024

For chargeable events for special trusts

• For chargeable events for special trusts reported on IHT100e, the trust allowance is £2.5 million
• for chargeable events for 18 to 25 trusts reported on IHT100h, the trust allowance is £2.5 million per beneficiary

If there is more than one chargeable event on the same day that qualifies for 100% relief, or more than one element of a deceased’s estate that qualifies for 100% relief, then the relief allowance is apportioned.

Check IHTM25500 for full details on the operation of the relief allowance and apportionment.

Information you need about each property

You must include the following information about each property.

How the property was acquired

You must tell us when and how the property was acquired. For example, if it was inherited, settled or purchased.

The nature of agricultural activities carried out

You must tell us about the day-to-day agricultural activities that the transferor or trustee carried out. Do not use vague phrases like ‘general farming’.

You should:

• say if it was an arable, pastoral or mixed farm
• describe the type of crops usually grown
• describe the type and numbers of livestock that grazed the land — if it was a variety of livestock, give an estimate of each type and the acreage they used

You may be able to claim Agricultural Relief if the property was managed under an agro-environmental or habitat scheme arrangement.

Who has been occupying the property

Tell us who has been occupying the property throughout the 7 years up to the date of the event.

You should:

• list all the different people who have occupied the land, including the dates of their occupation
• include details about the day-to-day agricultural activities carried out by each occupier
• tell us if the agricultural activity stopped at any time, including when and why this happened

A copy of the lease, tenancy, or other proprietary interest

If the property was let after 31 August 1995, you should tell us when the tenancy started and provide a copy of the tenancy agreement. You can also ignore question 6 and go to straight to question 7.

If the property was let before 1 September 1995, you should include the following details about the letting:

• when the letting started
• how long the property was let for
• what rent was charged
• a copy of the written lease or agreement if there is one

If you think the higher rate of relief is due

You may be able to claim the higher rate of relief for land let before 1 September 1995. The transferor or trustee must have been able to get vacant possession within 24 months of the date of the event. If you’ve answered ‘yes’ to question 6 you must tell us how they were able get vacant possession. For example, if they were a freeholder or a tenancy was coming to an end.

You may also be able to claim the higher rate of relief if all of the following apply:

• the tenancy began before 10 March 1981
• the transferor or trustee has owned the land since before 10 March 1981
• the land would have qualified for full Agricultural Relief under the law at that date
• the transferor did not have the right to vacant possession between the 10 March 1981 and the date of the event

Details about any farmhouse and buildings

Agricultural Relief is only available for property that is occupied for the purposes of agriculture.

You must include the following information for each building:

• who lived there at the date of the event and how long for
• the type of tenancy, for example agricultural tenancy or assured shorthold tenancy
• how much rent was paid
• why the occupier lived there
• why you consider the house or cottage to be ‘character appropriate’ to the agricultural property

If the property has been sold

You cannot claim Agricultural Relief if, at the date of the event, all of the following apply:

• some or all of the property was subject to a binding contract for sale
• contracts had been exchanged (or in Scotland, when missives have been concluded)
• the sale had not been completed

You should include details of the sale and clearly identify the part of the property that was sold on the plan.

What happens next

You should use the figures in this schedule to help you fill in the IHT100 series form.

You must send this form alongside the completed IHT100 series form. Make sure you include copies of any documents we’ve asked for.

Get help 

You should contact the Inheritance Tax helpline if you need help completing this form.