PROMOTION Top tips on reducing inheritance tax inheritance tax is charged at 40% so it is worth thinking about a strategy to ensure you are fully utilising any allowances available 4. Have you considered an investment that alim If you are not marriled and your estate is currently over £325,000 or if you are married and your combined estate is £650,000 or more, here are some ideas to consider to benefs from relief? Business Property Relef (BPR) is very valuable because if an asset meets the craeria, no inhemance 1. WIl the Residence Nil Rate Band (RNRB) applyaxs payabie on n Broadly this applies where property is inherited by direct descendants. The RNRB offers an additional allowance of £125.000 increasing to £175000 by 2020. However, beware traps for the unwary 5 Are you making the most of your annual allowances? Dont forget you can goft £3,000 per tax year with no inhenitance tax consequences Any unused allawance from the previous year can be carried forward too Smali gfts of up to £250 can be made to as many indviduals as you wish and certain gifts 2. Do you have excess income? If so and you make regulisr gofts, the normal expenditure out of income exemption may apply This exemption is very valuable because there is no linit provided it meets the conditions onthe occasion of marriage have no inbenitance 3, Would you consider setting up a Trust? Careful consideration needs to be given to the taxation of creating a Trust and the ongoing administration but managed correctly they can be a very versatile tool for providing funds for a tax consequences 6. Why not make a gift to charity? Gifts to charity are exempt from inheritance tax ntre gitsrepresent 10% or more of tor estate on death (subject to a complex calcuation), this coud reduce the rate from 40 to 36 Inheritance tax planning can be complex and it is imperative to seek specialist advice to ensure the best outcome For more information, please contact Holly Jones in SAS Daniels Wills and Wealth Planning team on 01244 305942 or email holly jonessasdaniels.co.uk SAS Daniels IT Our new Chester address will be 3 Vicar's Lane, Chester CH1 1Qx. To secure the right outcome for you and your loved ones, our team has the ideal combination of clarity, legal expertise and empathy. Whether you're planning for the future or facing a crisis, were ready to listen Contact SAS Daniels today. sasdaniels.co.uk I 01244 305900 sas daniels LLP No ordinary law firm Stockport Macclesfield Chester Congleton