Does a Will help my Inheritance Tax Planning?

It is sometimes believed that arranging a Will may somehow hasten death.

Not writing a Will is asking for trouble. It could mean the deceased person’s assets do not pass to who they intended, or unnecessary IHT (Inheritance Tax) is paid.

Those who die without having drafted a valid Will are considered to have died ‘intestate’. In such cases distribution of assets becomes a legal minefield. Remember your Will is simply an instruction to your closest on death as to how you want your estate split up.
If you don’t decide the Revenue will make the choice for you.

Make sure you go to a solicitor for your Will rather than an unqualified Will writer.

It is also sometimes believed that making a Will ensures no Inheritance Tax. It does not. A Will is simply an instruction as to what you should do on death. No action will take place until death as the instruction only applies after death.

Other Inheritance Tax Frequently Asked Questions:

• Does a Will help my Inheritance Tax Planning?
• How much is my estate worth for Inheritance Tax?
• How soon will Inheritance Tax have to be paid?
• What Inheritance Tax planning exemptions do I have?
• What is a potentially exempt transfer?
• Will all my gifts be effective for UK Inheritance Tax?
• If I am making gifts or gifts into trusts which order should I do them in?
• If I have an existing trust, do I need to do anything about it?
• If I made an outright gift of over the nil rate band, would I pay any immediate inheritance tax?