Tax expert shares advice on those looking to spare loved ones from changes to “most hated tax” ahead of Autumn Budget.
An estate planning specialist has shared his advice on how families can prepare for changes in inheritance tax.
Steve Bish said people should “maximise” the current allowances immediately before this Autumn’s budget.
Calling the government ‘s proposed changes “tone deaf” Steve, founder of Steve Bish Estate Planning in St Albans, Herts, said it was essential people sought advice from a reputable estate planning practitioner.
“The industry is not only pessimistic about the changes that have already been announced, they’re also unhappy about the additional changes that this seemingly tone-deaf government is said to be considering,” he said.
Steve, who is writing a book inspired by the loss of one of his closest friends almost 25 years ago, warned: “It would appear that the most hated of all taxes is likely to be hated even more before too long.”
In a further bid to help others, Steve has now penned a clear and accessible new guide called Where There’s A Will, There’s A Way. It offers practical advice on areas such as probate and inheritance tax, safeguarding children, pets, digital assets and more.
His friend Carl died intestate following a scooter accident in 2001.
“Carl hadn’t made a Will,” Steve explained. “This meant his family had the tragic task of organising his affairs. They had to try and work out what he’d have wanted by following the ‘Rules of Intestacy’ – a strict set of guidelines laid down by the government which must be adhered to when someone dies without leaving a valid Will.
“As a friend I tried to help and advise the best I could by researching and passing on information I could find. But at times I felt helpless.”
“This book is really about giving people clarity and confidence. It takes something we all tend to avoid and makes it manageable, even comforting. If it helps just one family avoid the pain I witnessed all those years ago, then it’s done its job.”
Steve’s has four key pieces of advice to those who want to keep ahead of proposed changes to inheritance tax rules.
- Review and update any existing plans you have. If the law changes, as seems likely, existing arrangements may not be the most tax efficient way of passing on your estate after you’ve died, or helping to lower the tax burden for your beneficiaries.
- Maximise the current gifting allowances as soon as you can. These are one of the areas the government is thought to be clamping down on and once it’s changed, the opportunity has gone. Gifts from ‘surplus income’ is something often overlooked by individuals but a reputable advisor can help use this opportunity.
- Consider the use of trusts. Although they might not be effective at preventing your own estate from being taxed they can prevent the inheritance being taxed again, something we call ‘generational inheritance tax’. It’s not just for big land estates so find out if it could work for you and your loved ones.
- Take professional advice. With the rules expected to be tightened, an experienced financial advisor will help you to navigate the new rules and stop you and your loved ones from falling foul of any changes.
Where There’s A Will, There’s A Way will be released soon. It is designed for anyone who hasn’t yet made a Will, particularly parents, homeowners, and business owners, and offers straightforward tools to make life easier for those left behind.
For more information visit https://www.sbishestateplanning.co.uk/
