Labour is finalising plans to close a series of business and property tax loopholes.
A review of the tax system by Rachel Reeves, the shadow chancellor, is understood to have identified at least £4bn of additional revenue that could be used to pay for pre-election giveaways.
Most announcements will be held back until shortly before the election campaign to maximise their impact and avoid the Conservatives closing the loopholes themselves. However, some of the areas being looked at are known.
One is reform of inheritance tax by closing exemptions for investing in assets such as farmland. At present, agricultural land can be passed on at death, exempt from the 40% rate of inheritance tax regardless of whether the owner farms it.
Another would end business relief for inheritance tax, which exempts shares in an unlisted company or a significant interest in a business. This and the farmland reform would raise an estimated £1.5bn a year.
Labour could also scrap or reduce business asset disposal relief, which allows people who own more than 5% of a company to sell their stake and pay a lower tax rate on their profit. This costs the Treasury more than £1bn a year.
A report this year by the Resolution Foundation think tank found that the government could raise £3.5bn by ditching five tax reliefs used by an estimated 70,000 people.
