Inheritance Tax Planning
Frequently Asked Questions
Which inheritance tax forms do I need?
A full list of Inheritance Tax forms are available at on the Government website to suit different circumstances.
How much can I give away in gifts?
There is an annual allowance for gifting of £3,000, which will not be counted in the value of your estate.
Are there any gifts that aren’t counted?
Gifts worth less that £250 can be given as much as you like, to whichever individuals you like, and these will not be subject to inheritance tax. Wedding gifts can also be exempt from inheritance tax, as long as they are made before, not after, the wedding.
Can inheritance tax be avoided?
Inheritance tax can be reduced by making gifts to your family or friends or setting up trusts. You can give anything you own to your partner and this won’t be counted in your estate. Gifts given to other family members or friends (not your partner) will still be counted in your estate for 7 years, but after that the value of these gifts will be excluded from your estate. Alternatively, if you set up a trust you can assign cash, property or investments to someone who is not yourself, your partner or you child. These then no longer count as part of your estate for inheritance tax purposes.
All of these scenarios are complicated, and you may miss some important information around Capital Gains Tax, so make sure you seek professional advice before making a decision.
Plan effectively for the future
Plan your estate and save Inheritance Tax.