Inheritance tax is becoming an increasing problem for individuals and families, catching more and more people in the UK today.
Under current legislation, an estate is liable to inheritance tax at 40% on its value above £325,000.
Originally it was a tax on the estates of the wealthy, however as incomes have risen and property prices and other assets have increased in value, it now potentially applies to a large number of estates. To compound the problem, the threshold at which inheritance tax is charged continues to be fixed at £325,000 and looks likely to remain so in the near future.
It is often possible to reduce or completely remove this liability with financial planning.
The starting point would be to review your current financial position, taking into account existing investments, property, current Will provisions and your personal circumstances; from this we can establish your potential liability to inheritance tax assuming no changes are made.
At this point we would consider action you could take to mitigate your potential liability in a range of different ways and explain these to you in plain English.