Hardly a meeting goes by when Partners and colleagues are not asked about Inheritance Tax. It is on everybody’s radar as with a house, pension, modest savings and some business interests, a lot of people are aware they could be getting close to the threshold. Planning is key, as Partner Chris Driver explains.
Inheritance Tax is a tax either on lifetime gifts or the estate (the property, money and possessions) of someone who has died.
With recent changes to reliefs and frozen thresholds since 2009, more and more lifetime gifts and estates are being dragged into inheritance tax.
Few of us like to think about dying, however the relevant legislation requires us to plan well in advance.
This means making the necessary provisions now, particularly with the upcoming changes to how assets and pensions will be taxed.
Partner Chris Driver said: “The earlier arrangements are made, the greater the chance of taking full advantage of our complicated tax system resulting in successful tax planning opportunities being taken and inheritance tax being saved.
“This allows more assets to be passed on to your chosen beneficiaries.”
It is important when planning to transfer an estate that adequate provision is made and getting the right balance requires considerable skill and foresight - along with a detailed knowledge of the current tax regime.
RNS provides a discreet, comprehensive estate planning service that includes:
- help with planning and reviewing a will;
- making full use of exemptions and lower tax rates on lifetime transfers;
- optimising lifetime transfers between family members;
- transferring agricultural or business property;
- transferring assets into trust; and
- arranging adequate life assurance to cover potential inheritance tax liabilities.
Chris said: “We also have expertise in dealing with trusts; a relatively easy and often a very tax efficient way to set aside assets for future beneficiaries outside the inheritance tax net.
“We can advise on the most suitable type of trust to fulfil your wishes, assist in setting it up and provide the full range of accounting and taxation compliance services required for trust management.”
For advice with Inheritance Tax, please don’t hesitate to contact Chris Driver or your usual contact at RNS.