You don't need to be rich for your estate to be subject to inheritance tax (IHT). Also known as death duties inheriture, inheritance tax is currently charged at 40% on the full value of your estate above the nil rate band. Your estate will include everything:

Investments & Savings    Home & Car & Personal effects    Life assurance, unless it is written in trust

Inheritance tax is not paid where your estate passes to your spouse, but if you do not have a spouse, or on your spouses subsequent death, inheritance tax is paid by those who inherit. Inheritance tax must be paid by or deducted from the estate before your assets are distributed.

Calculate the potential tax bill on your estate using our inheritance tax calculator.

For those who wish to protect their assets from the UK tax authorities there are many ways to ensure you pay the lowest possible level of tax on your estate.

Solutions can include creating trusts, utilising nil rate bands, arranging
life assurance policies or utilising multi-life offshore products.

Careful planning is required and consultation between a solicitor, accountant and independent advisor is recommended. We have arrangements with solicitors and accountants who can help you mitigate any inheritance tax liability. Contact us with your details and requirements.

A few myths surrounding what can happen to your estate on death.

My partner will inherit everything
UK law only recognises an unmarried partner if you have made a will. If you are not married and you have not made a will your partner may not be entitled to inherit anything.

The government will allocate my estate fairly
Dying without a valid will is called "dying intestate". The government has a very restrictive and pre determined list of beneficiaries and doesn't recognise un-married partners, friends and charities. In fact if you die intestate without any recognised beneficiaries all of your estate goes to the Crown.

I will 'gift' my house to my children
If you gift your house to your children or grandchildren but remain living in your home, under UK tax legislation you will be deemed to have made a 'gift with reservation' and the full value of your house will be charged to your estate. Even if you do totally gift your house to your children your estate may still face a tax charge if you die within seven years of making the gift.

I will give away everything just before I die
Under UK tax legislation, any gifts above £3,000 per year will be included within your estate if you die within seven year's of making the gift. There is a sliding scale charge applied over the seven years but if you die within the first two years of making the gift 100% will still be charged to your estate.

I have made a will
A will is the most obvious way to plan for the future and the fairest way to provide for your loved ones. Even if you have made a will, and amazingly 70% of the UK population do not have a will, it is important to keep it up to date. Getting married or divorced can invalidate a will and it can be challenged and changed after your death.

Can you help me make a will?
Yes, we have arrangements with solicitors to help you draft a new will or amend your existing will. Contact us with your details and we will arrange for a solicitor to contact you.

Help & advice
There are many different options to consider when mitigating inheritance tax and it makes sense to take advice from a qualified inheritance tax specialist who is independent and can offer you products and services from the whole of the market place. Please call one of our independent advisers or contact us to discuss the different options available to you in inheritance planning.