Posts tagged “inheritance tax”

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Leaving donations to charity

Posted on 8th June 2021

Latest figures show that charitable donations left in Wills increased by more than 60% last year.

More than half of people in the UK don’t have a Will and only three out of 10 people say they have an up-to-date Will. During the pandemic 7% of people made or updated their Will.

Why leave gifts to charity?

Many people are leaving tax-free gifts to charities in their Wills to reduce the amount of inheritance tax (IHT) to be paid on their estate when they die.

Gifts to charitable causes are tax-free, and if you donate 10% of your estate to charity, the amount of inheritance tax due will be reduced from 40% to 36%, above the £325,000 tax-free threshold.

Changes to Inheritance Tax affecting families

Posted on 16th March 2020

The Government is being urged to make changes to inheritance tax (IHT) to help families that will see their estate exceed the IHT threshold.

The proposals from the All-Party Parliamentary Group (APPG) on Inheritance Tax and Intergenerational Fairness says that the current 40% tax should be reduced to a flat rate of 10%, and that estates worth over £2 million should pay a 20% rate.

The burden of inheritance tax calculations

Posted on 9th March 2020

Many grieving families spend a long time completing detailed paperwork to report the value of a loved one's estate, even when there’s no inheritance tax (IHT) to pay.

Experts say the reporting requirements for possible inheritance tax bills are too complicated, not fit for purpose, and are overdue for reform.

Should I write my own Will?

Posted on 12th December 2019

You can find templates for Wills easily. They can be downloaded from the internet and bought in stationery shops.

Before you decide to write your own Will, here are some things to think about.

Express your wishes in a Will

Posted on 22nd October 2019

Two out of three people in the UK risk having strangers make decisions about who benefits from their estate after they die.

A survey by Remember a Charity has found that 68% of UK adults haven’t made a Will.

Many people put off writing their Will because the have made assumptions about when they should do it and who will inherit.

Here are just some of the reasons.

Six ways to reduce inheritance tax

Posted on 17th May 2019

Inheritance tax (IHT), normally at 40%, affects estates worth more than £325,000. The value of your estate is made up of property, money and possessions, after any debts have been settled.

A study by the financial services company, Canada Life, says Her Majesty’s Revenue and Customs (HMRC) collected £5.4billion of IHT in the financial that ended in April.

This is an increase of £200million on the previous year and £600million more than in 2017. The study predicts that the amount collected is likely to rise to £10billion by 2030.

You can now leave more to your children and grandchildren

Posted on 15th April 2019

We all want to leave something behind for our children and grandchildren.

Parents and grandparents can now leave property worth up to £950,000 to their direct descendants, free of inheritance tax (IHT), thanks to changes in the residence nil-rate band (RNRB), which came into effect on 6 April.

Planning for the future of your business

Posted on 11th October 2018

Whether you’re just starting your business or thinking about retirement, it’s well worth spending some time to plan what you would like to happen when you die.

What type of business do you have?

If you are a sole trader or you control all of the shares in your company, you don’t need to consult anyone else.

However, as a partner or a shareholder in a limited company, you will need to take your partnership or shareholders' agreement into account. If you want to make changes you will need to agree the new terms with the other people involved.ick on this text to edit it.

The risks of DIY wills

Posted on 3rd April 2018

Costing as little as £20, a 'Do It Yourself' (DIY) will bought online or from a stationers might seem like a tempting option. They are certainly becoming more popular.

However, there’s growing concern that people might be accidentally disinheriting their families and friends.