Our Services
Inheritance Tax
Protecting what’s rightfully yours
When managed incorrectly, inheritance tax (IHT) can greatly reduce the value of a family's property, possessions and estate. So if you want to ensure as much money as possible goes to your loved ones, you'll need to discuss and plan for your future with our experienced inheritance tax advisers.
Inheritance Tax
How can we help?
Inheritance Tax Planning
Our team can help you fully understand your inheritance tax implications and commitments. We'll then plan the most tax-efficient way to pass on your wealth.
Inheritance Tax Relief
The nil rate band for inheritance tax in the UK is currently £325,000. Anything above the threshold is taxable at 40%, but there are reliefs and exemptions available. We'll advise on your eligibility.
Wills
It's never a good idea to leave the distribution of your estate to chance. We're here to guide you through the will-making process and ensure all your wishes are met.
Trusts
We can help mitigate your inheritance tax liability by assigning trust funds for family members, reducing the total amount your family will be due to pay back to HMRC.
Gifts
Whether given outright or as part of a trust, gifting is an important consideration for any wealth management strategy and can help protect your estate as it is passed down through your family.
Get in touch
Careful inheritance tax planning is essential to ensure your loved ones will never have to consider selling your family home, heirlooms or investments to cover the cost of your inheritance tax bill.
Partner, Amal Shah, has decades of experience in tax planning and will make sure you benefit from all available tax-free allowances and deductions.
We’d be happy to arrange a free consultation – simply fill in the enquiry form or call us on the number below.
Call us
+44 (0)20 7299 1400Get in touch
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why choose us
Why Gerald Edelman?
At Gerald Edelman, we work closely with individuals, families, executors and administrators looking to retain the maximum possible value from their estate.
Our experienced team advises on all aspects of inheritance tax planning and will ensure you benefit from every relief for which you are eligible.
The threshold for inheritance tax (IHT) currently stands at £325,000, and any value above that amount is subject to a 40% tax rate. However, the rules around this are relatively complex. There are many ways to offset any costs incurred above this threshold, which we can discuss with you as part of a free initial consultation.
Get in touch via the ‘Contact' button above to discuss your situation with one of our inheritance tax accountants in London today, or discover more about the services we offer below.
Could we use a Family Investment Company (FIC) as part of our inheritance tax strategy?
A Family Investment Company (FIC) is a bespoke family investment vehicle in the form of a company whose directors and shareholders are, usually, individual family members or those close to you.
An FIC can hold a wide variety of assets, including property and shares. It is a flexible investment vehicle that allows a family to determine how each member can benefit by defining the rights attached to each class of shares. If the company is correctly structured, it allows the principal to retain control of the company by way of holding voting rights. However, it allows the beneficiaries, usually the settlor’s children, to hold income and capital growth shares. The effect is to remove the capital growth value of the company from the principal’s estate and pass this on to the beneficiaries, in turn reducing the total inheritance tax bill that should be payable on death.
What are Potentially Exempt Transfers (PETS)?
Potentially Exempt Transfers (PETs) are gifts made during a person’s lifetime that are not immediately subject to inheritance tax when the gift is made. However, it may be taxed should the donor pass away within seven years from the date of the gift.
The effective rates of tax on the excess over the nil rate band are:
0 to 3 years before death: 40%
3 to 4 years before death: 32%
4 to 5 years before death: 24%
5 to 6 years before death: 16%
6 to 7 years before death: 8%
What is a Trust?
Trusts are relationships in which one party, known as the settlor, gives another party, known as the trustee, the right to hold legal title to property or assets for the benefit of a third party, the beneficiary. Trusts are commonly established to provide protection over the settled property, ensuring those assets are managed in accordance with the settlor’s wishes. Where appropriate, it can be an important financial planning tool to protect family wealth and succession.