Inheritance Tax Planning

Inheritance Tax Planning for Future Generations

Nobody likes to think of a time when they are not around, but planning as a family to minimise Inheritance Tax (IHT) needs careful consideration. 

It’s not just about making sure the wishes of those gifting are fully met, but that the transfer of assets between generations is handled in the most tax-efficient manner. 

At Haggards Crowther, we have an experienced team of tax advisers to help you navigate through these challenging times. With our expertise, we will ensure that your legacy remains with your loved ones. 

Why Inheritance Tax Planning Matters

Without the right planning in place, a large part of your estate could be taxed at 40%. This means that your loved ones may inherit far less than you intended.

Whether you’re thinking about giving gifts, passing on your home, or setting up a trust, smart planning with Haggards Crowther can help protect your wealth and make sure it goes exactly where you want it to.

Reducing Your IHT Bill

One of the most effective ways to reduce your inheritance tax bill is to pass on more of your money to the people you care about. There are lots of ways to pass on your money, such as using your tax-free allowances or setting up a trust. 

At Haggards Crowther, we will guide you through what works best for you. We will work closely with you to ensure more of your estate ends up with your loved ones and less with HMRC.

How We Can Help With Inheritance Tax Planning

Inheritance tax planning can come across as very overwhelming, but with the right support, this is no longer the case. 

Our experienced team will guide you through the process step by step, helping you make confident decisions that protect your family and your legacy. 

Here’s how Haggards Crowther can support you:

• Making the most of your allowances
• The importance of having a will
• Gifting from surplus income
• Passing on the family home 
• The role of a favoured charity 
• Factoring in capital gains tax

Start Planning Early

Starting your planning early is essential, as every year that passes, you may lose valuable allowances and opportunities. So, the earlier you discuss your options with us, the more we can do to help. 

Get in touch with us today for a free consultation and see how we can work together to get your tax affairs in order for yourself and your loved ones. 

IHT Planning FAQs: 

How much is the Inheritance Tax threshold?
As of the 2024/25 tax year, the standard nil-rate band is £325,000. If your estate is worth less than this, there’s normally no IHT to pay. You may also benefit from the Residence Nil-Rate Band if you pass your main home to direct descendants.

Who pays Inheritance Tax?
Inheritance Tax is usually paid from the estate before beneficiaries receive their inheritance. The executor or administrator is responsible for settling any IHT due.

Can I reduce the amount of Inheritance Tax my estate will owe?
Yes. You can reduce your IHT liability through effective planning, such as making use of allowances, gifting assets during your lifetime, placing assets into trust, or using reliefs available for certain types of property or businesses.

What are ‘potentially exempt transfers’?
A potentially exempt transfer (PET) is a gift made during your lifetime that becomes exempt from IHT if you survive for seven years after making it. If you die within that period, some or all of the gift may be subject to tax.

Should I speak to a professional about IHT planning?

Absolutely. Inheritance Tax rules are complex and subject to change. We can help you create a tailored strategy that protects your estate and ensures your wishes are carried out tax-efficiently.