Inheritance tax is a tax on capital. It is levied, at the rate of 40%, on any assets currently in excess of £325,000, which you leave to your heirs (other than your UK domiciled spouse or civil partner) or certain charities.
Many people believe that inheritance tax only concerns the very wealthy. Nothing could be further from the truth. Property prices in the South East are still at a level where the value of your home alone means your estate can easily exceed the above threshold.
Moreover some (if not all) of the inheritance tax bill normally has to be paid, in cash, to HM Revenue and Customs within six months of your death. It must also be paid before your executors can obtain probate and begin to pass assets to the beneficiaries. This often means that an expensive bank loan must be obtained, another cost to your heirs.
At Warners our experience and independent advice enables us to guide our clients through the various complexities of capital taxes planning in general, and inheritance in particular.
Warners can advise on the interaction of the various taxes that need to be considered (including capital gains tax, stamp duty land tax and pre-owned asset tax) in tax planning matters and can assist with all documentation that may be required.
- Protect your children's inheritance by taking advantage of new inheritance tax allowance Nobody wants to see their hard-earned cash go to the tax man when they die, but until recently if your estate was worth more than £325,000 you faced the prospect of having to pay inheritance tax at a rate of 40 per cent...
- Age UK Law Clinics We are working with AgeUK to offer their clients and family members the chance to have a free 30 minute consultation with one of our Private Client solicitors.
- Warners Solicitors’ Gail Hall discusses Inheritance Tax Rules on BBC Radio Kent Gail Hall, a Private Client solicitor at Warners Solicitors, was interviewed on BBC Radio Kent on Tuesday 11 October. Gail talked about the Inheritance Tax Rules and how to plan for the future. You can listen to a recording...