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Reguarly share a slice of your surplus income and save IHT

Last year seemed to be a particularly bad one for the entertainment industry and public alike as we lost so many talented entertainers including Sir Terry Wogan, David Bowie, Caroline Aherne, Alan Rickman, Victoria Wood and Ronnie Corbett amongst notable others.

The legacy left by each in terms of their achievements, best moments, contributions to society and how they touched our own lives is unquantifiable.

The more quantifiable legacy is the financial assets they left behind. It has been widely reported that Ronnie Corbett had reluctantly sold his much loved family home of 33 years and moved into a modest bungalow nearby, to spare his children the inheritance tax bill.

Arguably tax planning is of particular relevance to those who are especially successful in well paid careers however there are a few basics which we should all, regardless of wealth or health, sit up and take note of.

For example, for estates liable to Inheritance Tax, the tax rate is 40% – potentially making the Government your biggest beneficiary!

Lifetime inheritance tax planning not only gives you the opportunity to support family members but also the chance to see the benefit of your actions.

For those with large estates who have assets that they could potentially pass down during their lifetime an inheritance tax review in some detail may well be worthwhile.

However even without any surplus assets you can save inheritance tax by managing ongoing income that remains after maintaining your normal living standards. Effectively, having reached the desired lifestyle a “hold” can be put in place with the surplus income being passed by you to your family and friends completely free from any inheritance tax charges.

With such a generous tax exemption there are of course strings attached and the burden of proof rests on the would be taxpayer. It is critical that your income, normal living requirements and intention to enter into a regular pattern of giving is properly reviewed and documented. We can arrange this for you, making the “surplus income” route to provide for your family and reduce inheritance tax charges an attractive one not to be overlooked!

We are currently offering a “surplus income” inheritance tax  review, to include documentation to substantiate the available surplus and a regular pattern of giving, for a fixed fee of £500 + VAT on mentioning this article. We can then provide an optional annual review for £250 plus VAT. The IHT saving is significant e.g. surplus income of £1,000 a month left in an estate until death five years later could give rise to IHT of £24,000 against total fees of £1,750 + VAT.

If you are interested in this opportunity, please contact us on

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