Inheritance Tax
If you have assets that are valued in excess of the nil rate tax band then on death you will be liable to pay inheritance tax. This is a substantial payment currently standing at 40%. If your house goes into the calculation or you have business assets that will be considered, then it is highly likely that you will be in a position where you have an inheritance tax issue.
There have been changes to inheritance tax, which may allow you to carry over inheritance tax to your spouse so as to effectively double the total nil rate band. However, careful consideration of the position needs to be made and it is important that you take expert advice.
Also, it may be that on death of your partner that other property comes into consideration that would not have previously done so and so you now may have a double estate valuing well in excess of the nil rate band. The result is that tax planning well in advance is extremely important so as to tailor your individual needs to the situation that you face. Effective estate and tax planning is important and we will work with you and your accountants or we can refer you to expert accountants to assist so as to deal with the difficult situation. If you wish more advice about our wills and probate services please contact us.
