Tax Planning
including
- Estate and inhertiance tax planning, including trusts.
- Continuity planning for buisness, including company purchase of own shares and Employee Ownership Trusts.
- Remuneration and fund extration.
Estate and inheritance tax planning, including trusts
Why act now?
From 6 April 2026, UK Business Property Relief (BPR) and Agricultural Property Relief (APR) will be restricted to 100% relief only on a combined total of £2.5 million of qualifying assets. Amounts exceeding this cap will attract a 50% relief, resulting in an effective inheritance tax (IHT) rate of 20%.
From 6 April 2027, most unused pension funds and death benefits will be included in a person's estate for Inheritance Tax (IHT) purposes. This significant change means pension pots, previously exempt, may be subject to the 40% IHT rate above the available Nil Rate Band (currently £325,000 HT
With more of an imperative to gift assets prior to death, the concerns of some as to the suitability of a gift without restriction or reservation to a beneficiary must be considered.
Options
Act sooner rather than later. Life time gifts via potentially exempt transfers (PETS) can reduce IHT bills.
Trusts
If there are concerns over the age or capabilities of the recipient of the gift consider a trust. Trusts have become more affordable and therefore more applicable