The Gathering Inheritance Tax Storm | Curtis Parkinson
Inheritance Tax

The Gathering Inheritance Tax Storm

1 October, 2024 3 minutes reading time


Why Your Will Matters More Than Ever

The financial landscape of inheritance in the UK is on the cusp of change. Whispers of potential reforms to inheritance tax (IHT) are escalating, and the steady rise in contested Wills highlights a growing issue. With a significant proportion of the population depending on inheritances to secure their financial future, the importance of having a meticulously drafted Will has never been more pronounced.

The Growing Prevalence of Contested Wills

Statistics show a worrying trend. An alarming 75% of individuals will likely encounter at least one Will dispute during their lifetime. One factor contributing to this surge is the increasing reliance on inheritances, with one in three individuals depending on them to achieve major financial milestones such as retirement or clearing debts. The stakes are higher than ever before.

Inheritance Tax Reform: What Lies Ahead

Should the government implement IHT reforms, the net value of estates passed on to beneficiaries could be significantly impacted. This, combined with the increasing prevalence of contested Wills, underscores the necessity of a well-structured estate plan.

Any changes to IHT, whether targeting reliefs or raising the tax rates, could necessitate early and thorough estate planning. This proactive approach, which could involve gifting assets during your lifetime or setting up trusts, ensures your intentions are unambiguous, minimises the chance of future disagreements, and gives you a sense of control over your financial legacy.

The complexities of inheritance tax, particularly around gifting, can be challenging to navigate.  Professional guidance from a qualified financial or specialist lawyer can be invaluable in ensuring your estate plan is tax-efficient and aligned with your wishes.

Safeguarding Your Legacy

In this evolving landscape, a meticulously drafted Will is not just important; it’s paramount. It provides legal clarity, minimises the risk of disputes, and offers reassurance to your loved ones during a difficult time.

The intricacies of estate planning and inheritance tax can be daunting. Seeking expert legal advice ensures your Will accurately reflects your intentions and safeguards your legacy for future generations.

Our Advice

Many believe that the potential for IHT reform is real. Coupled with the rise in contested Wills, the importance of taking proactive steps to protect your legacy has never been stronger.

By seeking professional guidance and ensuring your Will is comprehensive and up-to-date, you can navigate these complexities with confidence. Please don’t hesitate to contact us for help and advice with any aspect of making a Will or Estate Planning. We’re here to help.

Please note that all views, comments or opinions expressed are for information only and do not constitute and should not be interpreted as being comprehensive or as giving legal advice. No one should seek to rely or act upon, or refrain from acting upon, the views, comments or opinions expressed herein without first obtaining specialist, professional or independent advice. While every effort has been made to ensure accuracy, Curtis Parkinson cannot be held liable for any errors, omissions or inaccuracies.

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