Mitigating IHT

getmore4less

first thing missing is the property transferable nil rate band so potentially another £100k

how was the £265K for mother (dec'd) calculated?

xylophone

http://www.pruadviser.co.uk/content/knowledge/technical-centre/transferable_nil_rate_band/

https://www.gov.uk/government/publications/inheritance-tax-main-residence-nil-rate-band-and-the-existing-nil-rate-band/inheritance-tax-main-residence-nil-rate-band-and-the-existing-nil-rate-band

http://theprobatedepartment.co.uk/2017-new-probate-fees/

IHT is payable at 40% on whatever remains after the deduction of available allowances.

"Finding another beneficiary"? I'm mystified.

Savvy_Sue

You can, of course, give money to charity to reduce the IHT due.

Keep_pedalling

castle96 wrote: »

Father alive - 92

His NRB £325k
" £265K for mother (dec'd)
£100K in 4/17 for house to son

---

£690

Estate
£300 house
£600 investments

£900 - 690 = 210 x 40% = 84 due

true ? any 'way out' ?

PS I was looking at the way probate fees have gone up. Was £215. Now (5/17 £4000 !!!!!! for estate of 1/2 to 1m£

"Unless his father is still alive there is nothing that can be done to reduce IHT due on his estate." - what then ? he knows about 7yrs, £3k pa etc. AIM shares/woodlands....no use

In truth he has left it rather late for I HT planning, so don't make the same mistake. The best outcome would be for him to live long enough to take advantage of the uplift to the residential nil rate band He should also try to run his assets down a bit by spending some of it on himself.