Inheritance Tax Planning

It is important to take time to work out the actual value of your estate as it maybe worth more than you realise. If the value of your estate is over £325,000, you will start to pay IHT at 40%, which is a significant amount. The value of your estate is worked out by looking at the value of your assets less your debts. More specifically your estate is calculated by looking at everything owned in your name; the share of anything owned jointly; gifts kept back from which the person has been gaining some benefit, such as a home given to a son or daughter but still lived in by the parent; assets held in some trusts from which you receive an income. From this total debts are subtracted. Debts may include outstanding mortgages or loans, unpaid bills, and costs incurred during their lifetime for which bills have not been received, as well as funeral expenses.  This total then gives the value of your estate.
Through careful planning you can ensure that maximum use is made of your Inheritance Tax ‘allowance’ available on death. When we create your will we will endeavour to make it as tax efficient as possible.

Why more families UK are going to court over inheritance disputes? What constitutes ‘reasonable financial provision’ is defined by the Inheritance (Provision for Family and Dependants) Act 1975.? UNDERSTAND MORE.

Areas of specialism
  • Inheritance Tax planning through Wills
  • Inheritance Tax planning through lifetime gifting
  • Creation and administration of trusts to pass on wealth