Families and Trusts in Guildford generated more in Inheritance Tax (IHT) in 2015/16 than those in Northern Ireland and Wales combined, according to statistics recently released by HMRC.
The data, which was released as part of a Freedom of Information (FOI) request to HMRC by Direct Line, revealed that 658 estates in Guildford incurred an average liability of £231,003; and a total of £152 million was paid to HMRC by the beneficiaries of estates in Guildford. This IHT total was topped by South West London, where the total was £227million for the same period, although generated by fewer estates.
Two main factors, a significant increase in property values and a stagnation of the IHT threshold since 2009 have meant that people in London and the South East are now paying a tax that was once the dubious privilege of the very wealthy. Of course Guildford and the surrounding area is still a very attractive place to live for those with significant assets.
Unplanned for and large IHT bills are an unnecessary burden for families and beneficiaries; there are ways to minimise your tax liability and sharing your wealth with loved ones without any negative impact on your lifestyle.
Discussing inheritance planning is never an easy conversation, but speaking with an estate planning advisor can help rearrange your assets so that your beneficiaries will enjoy their legacies from your life’s work without the taxman taking the lion’s share.
If you would like to discuss your situation, in confidence please contact us.