IHT & Mirror Will

MaxAlex1979

Good morning,

Can someone please help.

My father has recently passed away.  He left everything to my mother (his wife) in the will.

They share a house (both names on the deeds) and they share a property business as a limited company (50% shareholders) each.  The total estate in both names is worth £1m +.

They have owned the house and business for over 30 years,

Does my mother (his wife) have to pay any tax, Inheritance, capital gains etc.?

Thank you.

RAS

Sorry to hear about your loss but, let's start with a few facts?

In which country do they live? And are the properties in the same country?

Is the family house held as a joint tenancy or tenants in common? If you don't know, check the Land Registry. Rough value?

Might be worth confirming that the other properties are held by the company but personally. Rough value?

Any other assets held jointly or personally by your father?

MaxAlex1979

In which country do they live? And are the properties in the same country?  UK (England)

Is the family house held as a joint tenancy or tenants in common? If you don't know, check the Land Registry. Rough value? (Land registry shows both names, mother and father)

Might be worth confirming that the other properties are held by the company but personally. Rough value? (held in company name, a limited company with 50% ownership each.  100 shares, 50 each)

Any other assets held jointly or personally by your father? Jointly owned

RAS

MaxAlex1979 said:

Is the family house held as a joint tenancy or tenants in common? If you don't know, check the Land Registry. Rough value? (Land registry shows both names, mother and father)

Does the registration include any sort of restriction " not to be disposed of without consent of x" ?

That would indicate tenants in common rather than a joint tenancy?

MaxAlex1979

RAS said:

MaxAlex1979 said:

Is the family house held as a joint tenancy or tenants in common? If you don't know, check the Land Registry. Rough value? (Land registry shows both names, mother and father)

Does the registration include any sort of restriction " not to be disposed of without consent of x" ?

That would indicate tenants in common rather than a joint tenancy?

doesnt say any restrictions 

Keep_pedalling

If everything is left to a spouse then the estate is exempt and no IHT is due. You mother’s estate is likely to fall inti IHT territory however as it exceeds £1M.

The business may be subject to some relief, but your mother would be wise to take some professional advice on IHT planning. A good starting point would be to talk to her accountant.