how do you avoid paying inheritance tax?

Answer 1

Sell all your assets over £300k (for example your house) & spend the money.

If you have a Mansion you want to leave to the kids, gift it to them now, move out (if you contiune to live in it, you MUST pay them a Comercial Rent OR it will be deemed to still be your property) and live at least another 7 years.

Otherwise, sell it now, buy a smaller place and spend spend spend ..

Answer 2

Brian - tax avoidance isn't fraud. Tax evasion is. Not sure of all the details, but I believe if the value of the house is less than 250,000, then no tax is payable. If the deeds are transferred to someone else while the 'giver' is still alive, then I think some other tax is payable, and the original owner isn't allowed to live in the house. Best to check those points, because I'm not absolutely sure of the facts!

Answer 3

There are steps you can take to actually build a strong, stable marriage and avoid divorce. Read here https://tr.im/HAX0v

Here are some key steps to apply to your marriage:

- Start by understanding and being informed.

You can never be too informed about tools, methods and studies about building successful marriages. Understand the risk factors like your age and maturity at marriage can determine how successful it will be, the anatomy of an affair and what you can do after infidelity. Understand the success factors like the personal and psychological circumstances that will influence your marriage, what are the tools and approaches available to you in dealing with conflict, and numerous other relevant data. All this information is readily available to you whether through self-help material, through a counselor, support group or other venues. In fact, we have made it our commitment to provide these to you in different formats to help you make the best marriage you can.

The thing is, remember, this is information is not available for you to begin hyper-psychoanalyzing your relationship, yourself and your partner. It's not a matter of spewing trivia for the sake of conversation ' information is there for you to ponder over and internalize to help you transform yourself and your marriage. That includes maturing to such a point that you become more competent in your knowledge but more prudent in approach.

Answer 4

This is a question that a lot of people are going to be asking themselves now that house prices have risen so fast and pushing the value of ordinary people's estates into the inheritance tax bracket for the first time.

Let's be quite clear about inheritance, or death tax, as it is better known. The people who originally were supposed to be paying this tax, the rich, the aristocracy etc., actually have never paid it.

There are ways of avoiding death tax, here are a few choices: -


Avoiding Inheritance Tax with Discretionary Will Trusts - UK Will ...Avoiding inheritance tax with a will trust is perfectly legal and leaves you in ... this should be the cornerstone of most married couple’s tax avoidance ...
http://www.avoidinginheritancetax.com

BBC NEWS | Business | Capital gains and inheritance taxIt is unlikely to be abolished, as it would open up a huge tax avoidance loophole ... Inheritance tax (IHT) affects a growing number of people in the UK ...
http://www.news.bbc.co.uk/1/hi/business/2966704.stm

Review: How to Avoid Inheritance Tax How to New legislation came into force in the UK in 2005 to crack down on loopholes allowing for the legal avoidance of inheritance ...
http://www.shelteroffshore.com/index.php/investment/more/how_to_avoid_inheritance_tax

Inheritance tax planning, IHT and gifting allowances in the UK Inheritance tax planning and avoidance, estate planning and IHT advice from Westerby Investment Management on all aspects of financial planning and ...
http://www.westerby-investment.co.uk/inheritance_tax_planning.htm

Last year [2006-2007] some 1.9 million Brits left UK to go and live abroad. Perhaps they left UK to avoid inheritance tax, or maybe they know something about future tax that we don't.

Put this note somewhere and remember to read it out loud to yourself from time to time.

In the 19th century, a famous British PM Benjamin Disraeli, once said, "Everything is taxable". Always bear this in mind, because he was a reforming Tory who wanted to rid England of poverty and he also knew that in order to achieve this he would need to tax the rich until it hurts. Problem is most of us, even us poor ragged pensioners who bought houses way back, are now classified as 'well off'.

No more, it just wants to make you weep. I saw one guy on TV a pensioner now in his early 80. His mother bough the house where he now lives for a mere £800. It is now climbing rapidly towards that fateful figure when death tax will have to be paid. The family home is at risk.

Good luck!

Edit: Dogdanglies above has made a serious point re marriage. The same rules apply to same sex marriage. So whatever your circumstances, marry someone and avoid the tax - well at least be able to pass everything on to a partner. If he she then marries again after you've gone, guess it can carry on to the next etc.

Answer 5

When your gone you don't have to pay tax... To avoid tax to the inheritors --- need to liquidate and all assets are put into cash. Or you give things to the right person and sign off... When you take the dirt nap you own nothing to be inherit...
NO TAX

Answer 6

IHT is 40% of any sum inherited over £300,000 if they give you everything before they die then they have to live for 7 years after giving it to you, then you will not get charged and IHT they look back 7 years into it basically. So if your parents are still alive get them to sign everything over to you now and hope they live for 7 years more other wise you will have to pay IHT

your allowed a one of gift of 5grand and £300 per year there after that is it matey

The only people who dont pay IHT are spouses for instance husband dies leaves everything to wife then she wont pay IHT but if he leaves it to a son then yip you HAVE to pay it

What a Shitty TAX!!!

Answer 7

The deceased doesn't pay it.. His estate does and so reduces the amount available for distribution to the beneficiaries under the will/ Either spend everything and don't leave anybody anything or you transfer ownership of everything ten years before you die.

Answer 8

Drink from the fountain of youth.

Answer 9

very interesting answers I have learned something

Answer 10

have things left to you now, as gifts