Becoming the executor of a family member’s estate is laudable – but it could land you with a sizeable inheritance tax bill.
Sam Barrett offers some practical tips on how unmarried couples can protect themselves.
Individuals were hit with a £4.84 billion ‘death tax’ charge in the 2016/17 tax year, the latest official figures from HM Revenue & Customs (HMRC) show.
The residence nil rate band (RNRB), which comes into force over the next three tax years from 6 April, in a nutshell will enable couples with a home to pass on up to £1 million to their direct family free of inheritance tax.
Families are becoming increasingly complex entities, often shaped by divorces, remarriages and children from previous relationships.
Much fanfare has been made of the new inheritance tax (IHT) allowance for main homes, which will reduce IHT liability for many people when it is introduced in April.
The number of UK estates liable for inheritance tax (IHT) is forecast to rise by 15 per cent to around 30,000 this year, according to HMRC tax data.
The amount of the money the UK government has received from inheritance tax (IHT) has reached £4.7 billion for the year ending 31 October.
The number of people worth in excess of £1 million has more than doubled since 2001, according to Wilsons, a private client law firm.