Inheritance Tax Planning

New RNRB Explained

Wills FAQ Book

Does The New RNRB Affect You

Back in April of this year, new legislation was introduced which may result in a reduction of the amount of Inheritance Tax (IHT) your estate pays when you die if at that time your estate is taxable for inheritance tax purposes.

What is the Residential Nil Rate Band (RNRB)?

The RNRB know as the Residential Nil Rate Allowance or (RNRA) as it is referred to in some publications. This is a new tax allowance in addition to the existing Nil Rate Band (NRB) Inheritance Tax allowance.

New Family Home Allowance (ANRB) Introduced

New Family Home Allowance (IHT) 2015
In this years summer budget Chancellor George Osborne announced that in addition to the current inheritance tax (IHT) nil rate band threshold (NRB) of £325,000 per person.

A new “family home allowance” known as an additional Nil Rate Band (ANRB) is set to be introduced from April 6, 2017.

Currently the inheritance tax (IHT) nil rate band is £325,00 this amount will be frozen until April 2021.

Multiple Trusts and IHT Planning

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Back in June last year we published an article about the HMRC planned changes to IHT taxation of trusts

The original consultation paper on this subject was published by the Treasury in 2013 and planned to put legislation in force to deter inheritance tax (IHT) mitigation through the use of multiple Pilot Trusts.

Inheritance Tax Update 2015

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Death and Taxes

With the General Election just around the corner and the various parties election campaigns now in full swing, one of the topics that keeps cropping up is that of Inheritance Tax and proposed changes to it.

Currently Inheritance Tax is charged on a persons estate at the rate of 40% on anything above the personal exemption threshold of £325,000.

Inheritance Tax Questions & Answers

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When is Inheritance Tax Charged?

For a single person, the current Inheritance Tax IHT nil rate band threshold is £325,000.

If on death a persons Estate is valued at more than this threshold then Inheritance Tax is payable and is currently charged at a rate of 40% on anything over the threshold.

What is an Asset Protection Trust

Wills FAQ Book

An Asset Protection Trust is a form of Life Interest Trust or Discretionary Trust that is created by the Settlor (the person gifting the asset into trust) during their lifetime.

Asset Protection Trusts are commonly used as an effective means of Estate Planning and provide bloodline planning for future generations.

These trusts allow the Settlor to transfer assets into trust immediately during their lifetime instead of the assets being distributed upon death.

Changes to IHT Taxation of Trusts

UPDATE 13/08/2015 Further amendments have been made to the HMRC consultation that this article covers, an update can be found Here

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Reduced Inheritance Tax Rate For Charitable Gifts

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In the UK Inheritance Tax (IHT) may become payable when someone dies leaving an estate worth over £325,000. The amount of tax payable is 40% of the proportion of the estate that is over the £325,000 IHT limit.

HMRC have however legislated to make it possible for you to reduce the amount of tax payable if you leave 10% of your estate to charity. The purpose of this blog post is to outline how it works.

Life Policy Written in Trust

Insurance Policy Providers

Placing a Life Policy In Trust

When you take out a Life Policy the provider that you choose should give you the option to put your life Insurance or Assurance policy in trust.

Choosing to put your Life Policy in trust is one way to make sure that your the proceeds of your policy reaches your loved ones quickly when you die, avoiding potentially unwanted delays during an emotional time for your loved ones.

HMRC Plans To Simplify IHT Charges On Trusts

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On the 31st of May 2013 the HMRC published a consultation document called "Simplifying Charges on Trusts – the next stage"

The purpose of this consultation document was to make proposals for changes that simplify the way in which Inheritance Tax (IHT) Trust charges are calculated.


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