IHT – Chargeable Lifetime Transfers

Hi Sir

If a donor makes a donation of, say, £300,000, 2 years prior to their death and their entire estate was worth £700,000 on death (including the £300,000 gifted two years prior to their death) would the £300,000 gifted, still be included in their death estate, even though they gifted it and it was awarded the first £300,000 of the £325,000 NRB?

i.e.
Would the chargeable lifetime gift attract £0 tax on the chargeable transfer and then, on the death estate:

£25,000 @ NRB (remaining NRB of £25,000 after first £300,000 allocated to lifetime transfer) = £0 and then;
£675,000 @ 40% = £270,000

A) So, ultimately then, even if you make a gift, and that lifetime transfer is exempt from IHT, the value of that gift is still included in your chargeable death estate, despite being gifted and awarded the NRB on the life time transfer?

B) Lastly, if the gift had been made in excess of seven years prior to the death, it would utilise none of the NRB on the lifetime transfer itself (i.e. the full £325k would be available to set against the death estate) AND whatever gift was made (in excess of 7 years prior to the death of the donor) would also be removed from the amount of the chargeable estate that is subject to IHT?

Thank you.