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Looking to Save Inheritance Tax...?

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...but not wanting to give up income or capital ?

More and more people are being dragged into the Inheritance tax net. Property prices and investment values are rising but the Nil rate band is held at £325,000 (£650,000 for a couple).

Regular gifting of excess income is not an option for everyone: nor is transferring capital to children always possible.  One way to keep access to invested capital, and to the returns on it,  is to put capital into assets giving the benefit of relief from IHT. There are a number of ways to invest and gain the benefit of Business Property Relief.

You may already have built up a substantial portfolio of ISA investments. Some (or all) of the accumulated value could be transferred into AIM investments within the ISA wrapper.  The investments will qualify for BPR after only two years.

Summary of Benefits :

Relief from IHT after just two years
Access to 100% of the investments at any time
Ease of administration as this is a simple portfolio of AIM-listed shares
Exposure to the growth and earnings potential of small companies
Exemption from Capital Gains Tax

This is one of a number of ways to save IHT whilst retaining access to capital.  Why not give us a call on 01752 205205  to see what options would be best for you ?

SWLaw Investment & Financial Planning Ltd

References :

Investors Chronicle – How to avoid IHT using AIM

London Stock Exchange – Guide to AIM tax benefits