IHT receipts reach record heights at £5.4bn this tax year
Inheritance Tax Planning (IHT) has never been so necessary, yet many people neglect to review their Estates and Net Worth, potentially resulting in HMRC as the biggest single benefactor of your lifetimes work and efforts!
In the first six months of the 2018-19 tax year, Inheritance Tax receipts stood at £2.8 billion. Analysis by the Office for Budget Responsibility estimates that for the full tax year, IHT receipts will reach a record £5.4 billion, up from £5.3 billion in 2017-18.
People often assume that IHT only applies to the very wealthy, however a record number of middle-income families are affected as a result of soaring house prices and stamp duty discouraging elderly people from downsizing. In 2017/18, approximately 22,600 estates were liable to IHT, which is around 3.8 per cent of the total.
While discussing Inheritance Tax Planning isn’t an enjoyable topic to cover, ensuring you receive expert advice can help prevent your hard-earned money ending up in the hands of the tax office. It’s important to remember that while you inevitably have the futures of your family in mind, you should also have financial security in your older years.
How we can help
At McCrea Financial Services we have a wealth of knowledge of the taxation system and would be more than happy to assist in ensuring you leave as much as possible to the people you wish to receive your estate.
We fully review your financial affairs to identify what the current liability is. It is also of great importance that we discuss your capital and income needs moving forward as this can have a significant bearing on our advice. Whilst it is important for most clients to minimise their potential Inheritance Tax liability, this shouldn’t affect their ongoing way of life.
Whichever route is appropriate for you, working in conjunction with us is very important. This will ensure your planning is done correctly. We can help remove the complexity around Inheritance Tax, taking into consideration and managing all the rules and exemptions for you, and the impact of any regulatory changes, to ensure the best possible outcome for you and your family.
Why not call us on 0141 572 1340 or email firstname.lastname@example.org to arrange a free no-obligation meeting.
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