Inheritance Tax
Inheritance Tax (IHT) is the tax charged on the value of property passing on a person's death and on certain gifts subject to certain expemptions and reliefs. The value of assets above the threashold of £300,000 in the current tax year and £312,000 in 2008/2009 is taxed at 40%.
The IHT threashold has not been increased over the years in line with house price inflation so the estates of home owners continue to suffer increased Inheritance Tax. The annual gift expemtion of £3,000 has not been increased for many years so the ability to give assets away continues to reduce in real terms.
Inheritance Tax has many expemtions and reliefs and a useful starting point is to consider them. However, taking advantage of them in practice can be quite complex.
A range of inheritance tax solutions is available which, individually or in combination, can meet most people's objectives and circumstances, and achieve a great deal, however, individual advice is essential.
If you would like help from one of our advisers or solicitor, please do not hesitate to contact us on 0800 389 2276 for independent IHT Advice.