Inferitance tax

[squarepeg]

I shall try that when the tax man calls. I'm sure it will be fine, as long as I'm a Duke or Earl or some such.

If you have a properly set up trust you have nothing to worry about.

[DimPrawn]

If you have a properly set up trust you have nothing to worry about.

Yeah sure.

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Tax is supposed to be on estate, and estate size is known - take 40% off trusts, easy...

Nobody has inherited the estate therefore there is no inheritance tax to pay. Trusts do not own estates, they only execute the settlors' instructions.

Let's think of the following case:

Your neighbour lives in a house he lets a room in. The rent ends up in his daughter's bank account to pay for her studies. Once day the neighbour comes round for tea and asks you to keep an eye on the house while he's gone for holidays in France. He promises to bring you a bottle of your favourite wine.

Do you get slapped with an inheritance bill because of that? No.

A trust is a very similar concept, except the neighbour goes on a very long, one-way holiday and you have a written agreement.

[AtW]

Nobody has inherited the estate therefore there is no inheritance tax to pay. Trusts do not own estates, they only execute the settlors' instructions.

[SueEllen]

You are aware Ed and David Milliband - those Letfie Labourites inherited their father's property in a similar way?

That's why I don't fall for the Tories tricks on inheritance tax. Anyone with wealth makes a trust to avoid it. Only little people who end up with wealth e.g. through property pay it.

[d000hg]

You are aware Ed and David Milliband - those Letfie Labourites inherited their father's property in a similar way?

That's why I don't fall for the Tories tricks on inheritance tax. Anyone with wealth makes a trust to avoid it. Only little people who end up with wealth e.g. through property pay it.

You know, except all the aristocracy who ended up broke when they couldn't pay the IHT on an estate made of property and had to give it to the National Trust. At least that's what dad told me - granted I was a kid and he was very anti-Labour but didn't IHT changes from a past (Labour?) government effectively end the aristocracy because they couldn't simply pass vast estates from generation to generation? There are not many proper aristos left.

[The_Equalizer]

You know, except all the aristocracy who ended up broke when they couldn't pay the IHT on an estate made of property and had to give it to the National Trust. At least that's what dad told me - granted I was a kid and he was very anti-Labour but didn't IHT changes from a past (Labour?) government effectively end the aristocracy because they couldn't simply pass vast estates from generation to generation? There are not many proper aristos left.

Indeed. The 1950s proper poshos got a right hammering, although they'd were losing ground from the 1920s.

[BrilloPad]

Indeed. The 1950s proper poshos got a right hammering, although they'd were losing ground from the 1920s.

Thank goodness. Victorian times provided the UK with the greatest empire the world has seen. Yet most UK citizens lived in poverty.

[The_Equalizer]

Thank goodness. Victorian times provided the UK with the greatest empire the world has seen. Yet most UK citizens lived in poverty.

Most of the world did too. Were punitive death duties of the 1950s was a way of correcting wrongs (real or otherwise) from a previous age?

[NotAllThere]

If you have a properly set up trust you have nothing to worry about.

Or live in a country with no inheritance tax.