Broadly, there is favourable inheritance tax treatment to business property.
A question that has been tested in various recent cases is whether a let property is business property for this purpose. A hotel is likely to be a business property, whereas a buy to let house would be an investment and not a business property. A recent case found that a holiday cottage available for short term let did not qualify as a business property for this purpose.
As with all of our tax tips and web pages this information is necessarily summarised and of a general nature. If you would like detailed specific advice please contact us.