For many planning for the future can be difficult, especially when it involves a time when we may not be here ourselves.
We all know the importance of having a to up to date Will in place to detail our wishes relating to the distribution of our estate and provisions for our loved ones.
Succession planning can aid with this process and by working with your accountant you can understand the options available and the tax implications of each.
Typically, there are four main asset areas to consider:
- Trading business
- Main home
It is important when considering inheritance tax planning to note that there is no single right answer and what works for one individual will not for another.
In particular, the individual thinking of passing on assets will need to consider whether they might need income or capital in the future, the equitable division between descendants, and indeed whether the asset should be protected in the future (whether against divorce, against a spendthrift next generation, or otherwise). These considerations, and others including tax, will determine what is appropriate.
Our webinar last month discusses some of the tax planning options which are available.
To discuss options available to you, contact Chris Bentley, Tax Director or Alison Ward, Tax Manager at Harts Accountants