Inheritance Tax Planning

What is Inheritance Tax Planning?

Inheritance Tax (IHT) Planning is an effective way of ensuring your loved ones inherit as much of your estate as possible.

Estate Planners view IHT as a voluntary tax, if you know what you are doing, you can mitigate this over time.

In short, this is a tax on the deceased’s estate (assets – liabilities = estate). We have tax free allowances called nil rate bands (as well as residence nil rate bands), anything above these allowances are taxed, currently at 40%.

Ready to Get Started?

Our guide to estate planning is a great place to start, download it for free here.


How much will you pay?

This depends on several factors. Typically, the larger the estate, the more tax you will pay, however we have clients with substantial estates who have very little inheritance tax to pay because of the planning we put in place.
We each have a tax-free allowance called a nil rate band, and some of us will be able to use an additional allowance called the residence nil rate band. It is also possible to leave your estate IHT free to your spouse, also leaving your tax-free allowances for your beneficiaries to claim in the future (giving you up to twice the allowance).
To find out exactly how much IHT will be payable on your estate & also the ways to get around this, please get in touch.

How can we help?

Our Estate Planners will consider your current circumstances as well as goals for the future and go through the different ways you can help reduce your IHT liability and pass more onto your loved ones.

There are several ways we can do this, some include:

  • Tax Efficient Wills
  • Lifetime Trust Planning
  • Gifting
  • Portfolio Restructuring
  • Deeds of Variation
  • Life Insurance

This planning can be complex and should only be done by tax advisers and legal professionals.

Speak to an expert

There are aspects of estate planning that are not easily found (IHT planning is no exception) and often only learnt through years of experience.

Speak to one of our experts so they can share this experience with you.

Did you know?

£5.326 billion of inheritance tax receipts were produced in the 2020/21 tax year.

This number is forecast to increase to £6.3 billion of inheritance tax receipts by 2023/24.

In most cases, there are ways we can help reduce this significantly – once you know the rules, you can use them at your disposal.

Ready to Get Started?

Our legal help is professional, affordable and our Estate Planners will look at your specific needs individually. We will ensure your service is tailored to you – every step of the way.

If you would like to speak to one of our Estate Planners to arrange your free, no obligation consultation, please get in touch.

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Give us a call

Telephone - 01920 481299

Locate Us

Redwood Wills & Estate Planning, North Cottage,
Stanstead Road, Ware, SG12 8PS, England.