A nice little earner?

missile

Most of us are aware that probate can take a while, particularly if the diceased did not make a will.

Earlier this month it was announced that interest of 2.5 points above base rate – 3% – will be charged on any inheritance tax (IHT) due that is not paid within six months of an individual’s death. At the same time, it was disclosed that the Revenue would only pay interest on tax overpaid at 1% below base rate, but no less than 0.5%.

A “nice little earner” for the government as TV character Arthur Daley used to say and, although relatively small beer in the great scheme of things, is it indicative of what inevitably lies ahead for us as the government tries to reduce a growing budget deficit? :rolleyes:

monkeyspanner

I agree but not as bad as the assessment of "tariff income" if you are in a care home and have savings of between £14000 and £23000. For each £250 the council assisting with care home payments will assume the resident has a weekly tariff income of £1. I may be wrong but I think this equates to an assumed savings income of over 20% each year.

The tariff income is added to the residents actual income and then deducted from the contribution the council will pay. So if a resident had the maximum savings allowed of £23000. The tariff income would be £36/week against a probable maximum actual savings income on the £9000 assessed of £6/week. Thus savings would be reduced by approximately £1500 per year.

Not a nice little earner but robbery IMHO.