Section 160 of the Inheritance Tax Act 1984 states that Inheritance Tax (IHT) is applied to the value of any property at the date of application, not at its original purchase value. “It is clear that a wine cellar must be valued at its open market value for Inheritance Tax purposes at the time of the relevant occasion of charge” (HRMC Newsletter August 2010) For IHT purposes a ‘wine cellar’ is any collection of wine forming part of an estate over the IHT threshold, no matter how it is stored or in what quantity.