Bluebond: Inheritance Tax Advice Services

You will not live forever. But you can surely help your loved ones inherit much of the wealth and property that you have accumulated throughout your lifetime. If the total property surpasses the inheritance tax limit, then the family will have to pay the bill soon after you die. However, this problem can be eliminated by you if you do inheritance tax planning in advance so that the bill is kept to a minimum. Inheritance tax is a tax that your beneficiaries pay if the property amount crosses the inheritance tax threshold. If the property amount is 325, 000 pounds, then the property is tax-free. This is also known as the IHT nil-rate band. Everything above this threshold will be taxed at 40 percent. This can lead to a huge bill amount for the bigger estates.   How to do inheritance tax planning? Inheritance tax planning  is very vital for you so that you can save your beneficiaries from paying extra taxes. If you leave the property to your civil partner or s...

There are several methods that you can use for paying inheritance tax . Having an idea of the various methods will enable one to pay the taxes effectively. One has to pay the inheritance tax by the end of the sixth month after the death of a person. For example, if the individual expired in January, then you must clear the tax by 31st July. There is however different due dates if you are making the payments on the trust. HMRC will be charging interest if you do not pay by the date mentioned.  How to pay the inheritance tax At first, you will need a reference number for the payment that you will be making. With the help of the reference number, you can make the payment of the inheritance tax bill. For getting the reference number, contact HMRC three weeks before you are scheduled to make the payment. For this, you can either apply online or use the form IHT 422 for getting the reference number. You’ll need to get an Inheritance Tax reference number from HM Revenue and Cust...

Business relief   consists of those investments that can be passed on for free from inheritance taxes. This happens usually after the investor dies and the shares have at least been owned for two years at the time.  Why  Business Relief  exists? Business relief previously known as Business property relief  since its introduction in the 1976 Finance Act has come a long way. The main aim during that time was to ensure that after the owner dies, the family-owned business could make its survival as a trading firm. This will help the business from getting sold or broken due to the inheritance tax liability. With time, the governments have understood the value of motivating people to invest in a trading businesses. This is regardless of whether they run the business on their own or with someone else. Business property relief  has been in existence for the past forty years. However, one must always remember that the value that investment has might go down or...

There are several methods that you can use for paying inheritance tax . Having an idea of the various methods will enable one to pay the taxes effectively. One has to pay the inheritance tax by the end of the sixth month after the death of a person. For example, if the individual expired in January, then you must clear the tax by 31st July. There is however different due dates if you are making the payments on the trust. HMRC will be charging interest if you do not pay by the date mentioned.  How to pay the inheritance tax? At first, you will need a reference number for the payment that you will be making. With the help of the reference number, you can make the payment of the inheritance tax bill. For getting the reference number, contact HMRC three weeks before you are scheduled to make the payment. For this, you can either apply online or use the form IHT 422 for getting the reference number. You’ll need to get an Inheritance Tax reference number from HM Revenue and Cus...

An inheritance tax is a type of tax which is paid by an individual who inherits money or property of a deceased person. Most people want to avoid paying this tax and they are always on the lookout for ways. In this article, we will list you some ways with the help of which you can avoid paying inheritance tax in UK.    Giving gifts when you are alive One way in which you can reduce the amount of inheritance tax is by giving gifts when you are still alive. It is important to  make these gifts 7 years before you die or else it will fail for Inheritance tax . Also, if you transfer an asset to your children and you continue to benefit from it, the gift will not qualify for exemption. If you want to give big gifts, ask for advice from an experienced professional. There are allowances that you need to be aware of: Annual exemption An individual can give away £3000 worth gifts every year without this getting added to estate value. If you have not used last year’s exemption, then...