This is one of the few inflexible constants; Everyone will mess up this death spiral at some point, but, for some obvious reasons, most of us would rather not spend too much time thinking, much less planning. You can get the right and important expert advice on inheritance tax planning and trusts in London.
Unfortunately, a lack of tax planning can be costly and since one of the taxes we charge in the UK is the inheritance tax, it is important that we take the time to think about unnecessary expenses for our loved ones while we are away.
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An inheritance tax is levied if you die with "property" slightly above the Chancellor's threshold (that's £325,000 for 2010-11). Your "property" includes all the money in your bank accounts, investments, real estate, and business, so inheritance taxes are going to hit us a lot harder than most people think.
If your property exceeds a certain threshold, a forty percent inheritance tax must be paid on the amount above the threshold.
Unfortunately, if you give your all while you're still alive, unless you make it seven years or so before your death (so have that crystal ball ready), because gifts and those, won't save your beneficiary from this tax. also subject to this problem. HMRC rules allow for several ways to reduce your heirs' tax burden through gifts. So talk to your accountant to find out more.
In certain circumstances, inheritance tax may not be paid even if the value of your property exceeds the threshold; For example, a taxpayer smiles at a wedding, so leaving your belongings to your spouse or civil partner will usually exempt them from inheritance taxes and also give them as a sincere and charitable wedding gift.