Rek
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| posted on 14/2/07 at 07:45 PM |
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Advice about Inheritance tax
Has anyone provide any pointers to information on inheritance tax?
as a background a relatives husband has died and she is being somewhat bamboozled by her late husbands family who are trying to get his business into
trust and suggesting to her that she must sell their house to pay the tax bill.
I was pretty sure that spouses dont pay tax up to a certain point, but I am not financial and just want to stop her losing her security at a
vulnerable time (the funeral was monday and they called her sunday night to dump this on her, nice eh!!!).
Also dont spouses have greater say over affairs than a brother/sister?
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bilbo
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| posted on 14/2/07 at 07:52 PM |
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I'm no expert but I'm sure spouses do not pay inheritance tax. I think it used to be the case a while back but not now.
TBH she should really speak to a solicitor about this sort of thing.
---------------------------------------
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andyd
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| posted on 14/2/07 at 07:53 PM |
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Spouses are next of kin unless a written will says otherwise. She has total rights over anything her husband had.
I'll leave any real financial advice to someone who knows better than I.
Andy
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David Jenkins
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| posted on 14/2/07 at 07:55 PM |
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As above - a visit to a solicitor ASAP is obviously required.
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oliwb
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| posted on 14/2/07 at 08:14 PM |
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Difficult. It depends on lots of things such as the total value of the estate, who got what on the will (if indeed there is a will!), how his company
has been setup and run both at inspetion and now. Biggest thing is establishing thnow owner of the company. Ppl often don't leave these things
in their will. The house will probably have been left to her so should be easy to avoid tax but business more difficult. Best bet is to get a decent
solicitor and an IFA on the case. Try to look for someone with financial experience in inheritance tax. Its a diffcult situation especially when you
start realising that things like his pension are also taxable! Oli.
If your not living life on the edge you're taking up too much room!
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SixedUp
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| posted on 14/2/07 at 08:16 PM |
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As already said, this sounds very dubious to me. Get her to see a solicitor (not the same one as is representing the rest of the family!)
This is the kind of time that professional advice is going to be well worth the price.
Cheers
Richard
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mark chandler
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| posted on 14/2/07 at 08:39 PM |
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You can't beat a death in the family to see the greed in peoples eyes......
Defo solicitor required as the leeches attack the vunerable spouse !
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smart51
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| posted on 14/2/07 at 08:50 PM |
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If someone tells the spouse of someone who dies to sell their house to pay the inheritance tax bill of someone else, I'd tell them to F off in
no uncertain terms. You have no right to inherit anything from anyone, it is a gift. If there is tax to pay YOU pay it. Wills aside, the spouse is
first in line to inherit.
Anything left to a spouse is free of inheritance tax, as is anything left to charity. Most other bequiths are taxable. To avoid inheritance tax,
give everything above the thresold to the spouse or charity. If a £20,000 donation to charity saves £50,000 in tax then everyone wins. As above,
best to get a lawyer involved as they can sometimes save more money than they cost.
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snippy
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| posted on 14/2/07 at 09:21 PM |
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I seem to recall that there is a threshold amount of around £285,000. Any deceased persons estate must be worth more than this before inheritance tax
needs paying. Obviously a business value may well go over this limit but who knows?I`ve just gone through this, my wife being the next of kin to a
grandparent who died. We haven`t paid inheritance tax and went through the probate registry.
Rek, what about the local probate office? They are normally well on the ball. They may offer some advice too?
It gets even worse as I`ve now got to pay capital gains tax on what the wife got! Bloody taxes, don`t you just love em! The government have their
fingers in everyones pies.
Nick
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Rek
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| posted on 14/2/07 at 10:48 PM |
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A trip to the CAB tomorrow is in order methinks cheers guys
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James
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| posted on 15/2/07 at 12:49 PM |
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quote:
Originally posted by SixedUp
Get her to see a solicitor (not the same one as is representing the rest of the family!)
Agreed, and if the executors of the will are his solicitors, don't use them either.
I have personal experience of some very dubious practices by the solicitor/executive of an elderly reletive of mine, and a bunch of land that has gone
'missing' from his estate!
Cheers,
James
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"The fight is won or lost far away from witnesses, behind the lines, in the gym and out there on the road, long before I dance under those lights."
- Muhammad Ali
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James
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| posted on 15/2/07 at 04:30 PM |
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As I thought, I've just confirmed with an enthusiastic amateur in this subject.... there is no inheritance tax at all between spouses.
One of the few remaining reasons to get married... 
Cheers,
James
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"The fight is won or lost far away from witnesses, behind the lines, in the gym and out there on the road, long before I dance under those lights."
- Muhammad Ali
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iank
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| posted on 15/2/07 at 04:52 PM |
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If I was a suspicious sort I'd be waiting for one of the relatives to suggest they bought the house/share of the business, 'just to keep
it in the family'.
p.s. if she is the next of kin she has entire control over sorting things out related to her husbands affairs and the sisters/brothers have none.
--
Never argue with an idiot. They drag you down to their level, then beat you with experience.
Anonymous
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James
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| posted on 15/2/07 at 05:21 PM |
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quote:
Originally posted by iank
p.s. if she is the next of kin she has entire control over sorting things out related to her husbands affairs and the sisters/brothers have none.
That's more down to the executors of the deceased's estate to be honest. Whoever they turn out to be!
Cheers,
James
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"The fight is won or lost far away from witnesses, behind the lines, in the gym and out there on the road, long before I dance under those lights."
- Muhammad Ali
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