Inheritance Tax question

roadworks9

It's being reported that IHT will increase next week in the Budget. As stands, I will currently be taxed by HMRC 40% as I am quite a bit over the £325k allowance.

However, I am single, aged 56 in good health, both parents passed, no brothers or sisters, my 2 Aunties are in their 90's & cousins I haven't seen in 20 years - should I be worried about IHT or doesn't it matter in my situation with no family or loved ones ?

eskbanker

Who would lose out if your estate was subject to IHT, i.e. what does your will specify?

Brie

Well no you shouldn't worry about it as you will have nothing to do about it after the fact.  You could of course marry or you could spend a lot and both those things (currently at least) would sort out the IHT issue.  

But hopefully given your situation you have considered getting a will so that someone tidies up after you a bit?  Presumably without one the money would go to your cousins whether you want it to or not.  Maybe you'd like it to go to a particular charity instead?  

Keep_pedalling

roadworks9 said:

It's being reported that IHT will increase next week in the Budget. As stands, I will currently be taxed by HMRC 40% as I am quite a bit over the £325k allowance.

However, I am single, aged 56 in good health, both parents passed, no brothers or sisters, my 2 Aunties are in their 90's & cousins I haven't seen in 20 years - should I be worried about IHT or doesn't it matter in my situation with no family or loved ones ?

You should be entirely unworried. Just try to spend as much on yourself while you can and leave the rest to charity. 

Bookworm105

to be blunt, you will be dead, so why are you worried about what happens to your estate?
Do you have a will, or are you intestate but expect the estranged cousins to make a claim on your money?
 (safe to say aunties will be dead before you)

IRememberItWell

Also interested in this topic.

Albermarle

It's being reported that IHT will increase next week in the Budget

There are lots of lots items being reported that could/might/sources indicate etc be in next weeks budget. Probably at least 75% of the predictions will be wrong.
My prediction is that the £325K nil rate band will not be touched and the 40% rate will stay the same.
There is a possibility the residence nil rate band might be changed, it could even be just incorporated into the main nil rate band and you find your limit is now £500K.
Probably not, but you never know.