Inheritance Tax Article MoneySavingExpert.com Discussion

essay_2

I have read many times that Husband and Wife should become Tennants in Common. How does one go about doing this. Is it something you can do yourself or does it involve costly solicitors. Any info would be much appreciated.

margaretclare

essay wrote:

I have read many times that Husband and Wife should become Tenants in Common. How does one go about doing this? Is it something you can do yourself or does it involve costly solicitors. Any info would be much appreciated.

You can do it fairly simply by downloading a form from the Land Registry. Have a look here: https://www.landregistry.gov.com

However, you say you've read this - but why would you want to do it?

Margaret Clare

geoffreyq

I was told by a financial adviser that the biggest IHT relief is for a pension fund. If you die the value can be paid free of IHT. You can pay in all your income and get tax relief (subject to limits) on the contribution. You can leave it to accrue until age 75. If you die before that age ALL the fund can be paid to children/grandchildren etc free of IHT.This could mean £1.5million bypasses the estate- £3million for a couple - far more than most of the things mentioned. I didn't see this highlighted by Martin. Does it not still apply?

robsito

Good morning everyone,

This site is without any doubt extremely useful and I have myself used some of Martin's tips.
However I'm am sure Martin himself would ackowledge that he is unable in this context to supply all the answers to Inheritance Tax problems. The article falls short of mentioning one or two very obvious solutions to this area of financial advice.

At the risk of hearing "well you would say that" I would strongly advise that anyone who feels they are facing future problems of IHT that they consult directly with an Independent Financial Adviser. Thta is what we are trained for!! If you feel that my company can be of help please do send me a mail.

robsito

Good morning everyone,

This site is without any doubt extremely useful and I have myself used some of Martin's tips.
However I'm am sure Martin himself would ackowledge that he is unable in this context to supply all the answers to Inheritance Tax problems. The article falls short of mentioning one or two very obvious solutions to this area of financial advice.

At the risk of hearing "well you would say that" I would strongly advise that anyone who feels they are facing future problems of IHT that they consult directly with an Independent Financial Adviser. Thta is what we are trained for!! If you feel that my company can be of help please do send me a mail.



I am an Independent Financial Advisor.

As such anything posted on this forum is for discussion purposes on this forum only.. You should not consider it as financial advice. We each have different needs and what is right for one person may not be right for someone else. If you feel a topic discussed may be relevant to you, then you should seek advice from an Independent Financial Advisor who can advise you after finding out more about your situation.

dunstonh

geoffreyq wrote:

I was told by a financial adviser that the biggest IHT relief is for a pension fund. If you die the value can be paid free of IHT. You can pay in all your income and get tax relief (subject to limits) on the contribution. You can leave it to accrue until age 75. If you die before that age ALL the fund can be paid to children/grandchildren etc free of IHT.This could mean £1.5million bypasses the estate- £3million for a couple - far more than most of the things mentioned. I didn't see this highlighted by Martin. Does it not still apply?

Whilst the pension fund is growing (and hasnt commenced. ie. bought an annuity), then the fund is outside of the estate for IHT purposes. It can be useful for reducing potential IHT liabilities but it comes with a few snags. If you live to age 75, it enters your estate again. If you die before age 75, the trustees may overule your nomination of beneficiary and give it to spouse if they believe the spouse would be better suited to have it.

So, whilst it is useful, it comes with warnings.

patrea

Anyone know a good lawyer to offer advice on the IHT changes? There is a lot of conflicting advice around, particularly re discretionary trusts and arrangments with one's house, and leaving it in trust to children, with one's spouse remining resident

Delvin_John_Flynn

Thinking aloud. I die and in order to reduce IHT I leave anything over my allowance to the children. If the house forms most of our assets it could trigger off a situation that the survivor has to sell the house to pay off the kids. So would it be best to leave the situation and pay the inheritance tax?

dunstonh

I would say its too early at this time to get a clear answer. New information is still coming out. This is why there is a lot of confusion.

Most IFAs have suspended trust work at this time pending final confirmations. A number of providers have also withdrawn trust business as well for the same reason.

vonnie26

:j Has any one every done this "tenants in kind" whereby you donate half you house to one son or daughter and the other half to the other.