Entries by Harriet Thacker

2014 Autumn Statement – Inheritance Tax

1. IHT: exemption for emergency service personnel and humanitarian aid workers The existing inheritance tax (IHT) exemption for members of the armed forces who die or whose death is caused or hastened by injury while on active service will be extended to emergency service personnel and humanitarian aid workers responding to emergencies. The extension will […]

Why does the Tax Year end on 5th April?

This is a question often asked of us tax advisers in pubs (usually after the person speaking to us has stopped shouting at us about having to pay too much tax). Prior to the eighteenth century, the calendar year began on 25th March and so it was quite natural for the tax year to start […]

Tax changes next month: in a nutshell!

The Media may focus on the Budget this week, but business owners should reflect on the changes announced already, that are due to come into effect from 1 April for companies and 6 April for everyone else.  Here is a roundup of the Top 5 of those changes that we anticipate will affect the most […]

INHERITANCE TAX & LIFETIME GIFTS

Inheritance tax is charged at 40% on your estate if you leave more than £325,000 as a single person or £650,000 as a surviving spouse or civil partner. You can, however, reduce your liability to inheritance tax by making the most of the lifetime tax free allowances:- gifts up to the value of £3,000 per […]

Insurance proceeds and inheritance tax

The personal representative or Executors of a deceased individual must value the deceased’s estate at the date of his death to determine its liability to inheritance tax (IHT). A deceased’s estate is defined (section 5, Inheritance Tax Act 1984 (IHTA 1984)) as the aggregate of all the property to which he is beneficially entitled immediately before his death. One question faced by Executors is whether any potential […]

Property, Tax & Declarations of Trust

Many rental properties are owned jointly, but only up to 4 names may be registered with the Land Registry.  It is therefore very common for joint owners of property to enter into a Declaration of Trust to document the full ownership structure. Declarations of Trust may be used where there are fewer than 4 owners, […]

What is An Asset Protection Trust?

An Asset Protection Trust is a structure that does what its name suggests – it is designed to help protect assets by holding them in trust. Developed by English common law over hundreds of years, Asset Protection Trusts are now used in many jurisdictions the world over, including the US, Channel Islands and several offshore […]