Over the years, in real terms, the IHT thresholds have steadily fallen. This means more and more people will be impacted and IHT planning is no longer just a worry for the very wealthy. There are various tools and strategies that can be used to try and mitigate any potential tax liability, such as;
- Investments Trusts
- Investment Bonds
- Lifetime Gifts
- Whole of Life Polices
- Effective use of annual allowances
Its vital to think a long way ahead, as some aspects of IHT planning can take a long time to take effect and making decision too late can vastly reduce the options available to you.*
*Estate Planning and Inheritance Tax advice is not regulated by the Financial Conduct Authority.