Tuesday, August 22, 2006

Till the Pips Squeak?

By way of a Public Service Annoucement, this link takes you to a page that gives a concise summary of Inheritance Tax (IHT), including elligibility and thresholds.

You will note from this link that IHT only becomes payable on the value of estates over 285,000 pounds. For example, an estate with a value of 300,000 pounds will incur an IHT charge of 40% of 15,000, eg: 6,000 pounds. An estate with a value of 284,000 will NOT incur a tax charge.

Recent statements in the media by those opposed to IHT may have led you to believe that Inheritance tax is payable on the entire value of the estate. As you can see, this is not the case.

Just glad to set the record straight.

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