We provide a wide range of legal services to individuals through our specialist teams of solicitors across our offices.
We provide a wide range of legal services to individuals through our specialist teams of solicitors across our offices.
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We provide a wide range of legal services to businesses through our specialist teams of solicitors across our offices.
Online Services
This is a type of tax that must be paid to HMRC following someone’s death if the value of their estate exceeds the available tax allowances. Any part of your estate that exceeds the available allowances is taxed at a rate of 40%. It is the value of your net estate that is used for inheritance tax purposes so any debts can first be deducted.
Firstly, anything you leave to your spouse or civil partner is exempt from Inheritance Tax, so it is usually only on the death of a surviving spouse that Inheritance Tax may become due. Gifts to charities are also exempt from Inheritance Tax and certain business assets may also qualify for relief.
There are two main tax allowances available today and these are known as the Nil Rate Band and the Residential Nil Rate Band. The Nil Rate Band is currently £325,000 and is available to everyone. The Residential Nil Rate Band is more complicated and certain criteria must be met in order to qualify for it. If your estate does qualify for the Residential Nil Rate Band, then you are entitled to a further tax allowance of £150,000. This allowance will increase to £175,000 on 6 April 2020.
The Residential Nil Rate Band requires certain criteria to be met in order to qualify for it. To qualify for the relief, you must:
Spouses and Civil Partners are entitled to claim any unused tax allowance from their deceased spouse/civil partner, but this is calculated and claimed at the time of the death of the survivor.
HMRC expect Inheritance Tax to be paid within 1 year of death. You will be charged penalties if the Inheritance Tax is not paid in time. However, after just 6 months following someone’s death HMRC will begin charging interest on the Inheritance Tax due until it is paid so it is best to act quickly when dealing with someone’s estate.
For help and advice, talk to a member of our team. They can advise on the best options in your matter.
