Are you prepared for an Inheritance Tax Bill?
Many are confused as what is allowable and what isn't?
This timely article from Finnancial Planning expert Richard Jones of JG Financial is worth reading:-
Inheritance tax was introduced in 1986 and is also known as “death duty”. It is applied to transfers of wealth on, or shortly after death that exceeds a minimum threshold known as a nil rate band (£325,000 in the 2011/12 tax year). If a person dies and their total estate is above the nil rate band then Inheritance Tax becomes payable. On the amount exceeding the nil rate band the estate is charged at 40%. As you can see, inheritance tax is an important revenue for the government.
Many married couples consider their assets to be held jointly. There is no inheritance tax between husband and wife. Since October 2007 and subject to current legislation remaining, in the event of one spouse dying, an application can be made to utilise the deceased nil rate band that has not been used on second death. Therefore a married couple effectively between them have a nil rate band of £650,000. Effective Inheritance tax planning with a financial advisor before the first death occurs is the preferred option. For Full article click here
Richard Jones from JG Financial Planning based in Cardigan comes highly recommended and offers a Free Initial Consultation. So what do you have to lose.......possibly some Inheritance Tax? Give Richard a call on 07810 571 832
