The fact is that people work for their children. If you tax them enough, they won't bother.It’s unearned income for the recipient, tax the whole lot at the marginal rate.
Will this win the Tories any votes? Hardly one for the red wall …
You don't want your children to suffer an Inheritance Tax bill?
Hold off dying for 7 years and it's tax free, baby.It's not that simple . . .you get taxed on that too. . . . Unless you get the timing right and have the right bean counter etc etc.
Just playing devil’s advocate, but the same money could be taxed over and over again. If you used your already taxed savings to pay a plumber, the plumber would pay tax on that money. The plumber can’t argue that it has already been taxed once.It's money that has already been subject to tax. Always been a bit rum to tax the money twice.
Unless you go into care and need money for fees. If you give loads away it can be deemed to be squirrelling money away to avoid care fees. It can then be reclaimed apparently.Hold off dying for 7 years and it's tax free, baby.
Depends how you look at. The beneficiary has not paid any tax on the inheritance they have just received. Tax may have been paid by the deceased during their lifetime but that's irrelevant. Also, many estates have their value accrued purely because the value of property has risen and no tax had been paid on that capital gain.It's money that has already been subject to tax. Always been a bit rum to tax the money twice.
But it’s not the beneficiary who is being taxed. It’s the dead person, or rather his/her estate.Depends how you look at. The beneficiary has not paid any tax on the inheritance they have just received. Tax may have been paid by the deceased during their lifetime but that's irrelevant. Also, many estates have their value accrued purely because the value of property has risen and no tax had been paid on that capital gain.
Do you know what proportion of estates paid inheritance tax last year? I bet it is far lower than you think if you are using lines like this one.The fact is that people work for their children. If you tax them enough, they won't bother.
We take back controlHow do we replace the lost billions coming into the public purse?
Understanding the high level allowances as to whether it is likely to apply rather than the completion of forms / probate was what I meant.More than a sweeping generalisation. My parents estate involved about 7 forms of 20+ pages each and most of the questions I didn't understand a word of. Thankfully a kind NSC'er came to my rescue.
How did your issue with the HMRC go? If I remember correctly there was a difference of opinion over the value of all the properties you inherited?More than a sweeping generalisation. My parents estate involved about 7 forms of 20+ pages each and most of the questions I didn't understand a word of. Thankfully a kind NSC'er came to my rescue.
Not heard from them - given every property has sold below the estimated value I don't think they have a leg to stand on.How did your issue with the HMRC go? If I remember correctly there was a difference of opinion over the value of all the properties you inherited?
Fair enough.Not heard from them - given every property has sold below the estimated value I don't think they have a leg to stand on.
Good luck with that ! I'm looking forward to claiming back the IHT I paid given the estate value has been below the original threshold ..... I'll probably be dead myself by the time it's all sorted.Fair enough.
I’m having my own battle with them, trying to get 745 quid they owe me. It’s been a total joke and has lasted over a year now.