15th May 2012
“The only two certainties in life are death and taxes” – Benjamin Franklin
Inheritance Tax (IHT) is usually payable on an Estate on the event of someone’s death. The current IHT threshold, also known as the 'Nil rate band', stands at £325,000. If your overall Estate is above this level, any excess amount will be taxed at 40%. Although there are some exceptions in respect of charities etc.
Since October 2007, any late spouse’s or civil partners unused nil rate band can be transferred to the second spouse or civil partner when they die. This will mean that currently on second death the IHT threshold will be £650,000.
How can one reduce the IHT liability if one’s Estate is worth more than the IHT threshold?.... to read more visit http://wwtaxclub.blogspot.co.uk/2012/05/ways-to-reduce-your-iht-liability.html