01446 771949/773669 [email protected]

Managing Inheritance Tax

Effective Inheritance Planning

If you want to have control over what happens to your assets after your death, effective inheritance planning is essential. After a lifetime of hard work, you want to make sure you protect as much of your wealth as possible and pass it on to the right people. Inheritance Tax planning is about more than just tax. It is about making sure the people left behind are financially supported and that your assets are protected.

Inheritance Tax planning used to be an activity confined to the very rich. However, growing affluence means that this is no longer the case. Even families and individuals with a relatively moderate level of wealth should consider planning ahead to ensure that their assets are passed on to their loved ones as efficiently as possible. Property price increases have also dragged many middle-class working families into the Inheritance

Effective estate planning is about getting the right balance between maintaining access to your money when you need it and saving tax. This is because, in general, the more tax-efficient a solution is, the less access you have to your assets. Safeguarding your own financial future is very important, and giving too much away could put this at risk.

Inheritance Tax is a very complex area of financial planning, and in the UK may be one of life’s unpleasant facts, but Inheritance Tax planning and obtaining professional advice could and should help you pay less tax on your estate. To discuss your situation and the options available to you, please contact us – we look forward to hearing from you.

Don’t Miss Out on Claiming RNRB in April 2017

The Rules for claiming the new ‘residence nil rate band’ for Inheritance Tax are incredibly complex. The government’s own website uses 18 case studies in its explanation about how it works! Call us on 01446 771949 for clear and comprehensive advice about how this new allowance pertains to you and what you need to do to benefit from it.

Death and Taxes

Inheritance tax is no longer a tax that only the richest people in society have to face.  As Benjamin Franklin said, the only things that are certain in life are death and taxes, and Inheritance Tax touches on both of them.

When you die, the Government assesses how much your estate is worth and then deducts your debts from this to obtain the value of your estate. The Office of Budget Responsibility predicted that 45,100 bereaved families would become subject to Inheritance Tax during 2016/17. This represents the largest number of families paying it since 1979/80.

Under the current rules, every individual has a £325,000 nil rate band. When we die, our estate’s value is calculated, and everything above the nil rate band is subject to 40% Inheritance Tax. If you are married or widowed, your nil rate band could be up to £650,000. In most cases, it falls upon your loved ones to pay any tax before they can inherit what you want them to have.

Could you be liable?

If you’re single  (that includes divorced people and registered civil partners whose partnership has been dissolved by the courts) and your total estate is worth £325,000 or less, then no Inheritance Tax will be due.

If it is more than that, it is likely there will be Inheritance Tax to pay.

In the case of couples (married or civilly partnered), if the first to die leaves everything to their spouse (which is now the recommended advice in almost all circumstances), then the whole estate is completely free of Inheritance Tax. When the second member of the couple dies, there will be no Inheritance Tax to pay if the total is £650,000 or less.

If your total is more than that, it is likely that there will be Inheritance Tax to pay by your heirs when the second spouse dies.

How we can help

Inheritance Tax Planning is a complex area and we can help you navigate the best way for your personal situation. It may be in your interest to set up a Trust to help protect your assets.

Call us for a formal discussion about your requirements on

01446 771949/773669


Mulberry Vale Trust Planning Ltd is not regulated by the Financial Conduct Authority as we undertake activities that are not regulated or authorised by the FCA including Trust work, Will drafting, Research, Legal work and other non-regulated activities. The content of this website does not constitute regulated financial advice of any description nor does it purport to do so. If regulated advice is needed you will be referred to either a specialist financial adviser of Harries Powell & Price Ltd or a financial adviser of your own choice.



70 Eastgate
CF71 7AB



70 Eastgate
CF71 7AB

01446 771949