GCT – Life time tax paid by the donor

Hi JIlly,

for the following question I consider the gross as 586250-325000
since he paid 52250 then
we say 586250
so this should be reduced by 325000 deducted earlier when life time IHT paid

so 586250-325000=261250*40%=less taper relief of 40% =62700

Answer is 62700

but in your lecture you said the GCT should be the taxable amount plus the life time tax paid by the donor
and here GCT is 586250 which is different

Thanks,

Question from Pre-Dec 2024 mock
Q11 section A

Bruce died on 16 July 2023. He made one lifetime gift on 10 November 2018 into a discretionary trust. He paid the lifetime tax of £52,250 and the gross chargeable transfer value of the gift was £586,250.

How much inheritance tax is due on the lifetime gift as a result of Bruce’s death? 

£10,450

£62,700

£52,250

£104,500