TAX ADVANTAGES IN WRITING A WILL

When someone dies, if the value of their assets (less any liabilities) exceeds a certain amount, then Inheritance Tax is charged on the balance.

The current Inheritance Tax threshold limit is £325,000. If your estate is worth in excess of this amount it will be taxed at 40%.

For example, you may own property worth £300,000, a car, some savings, shares, investments and a life assurance policy valued at £50,000, which would take you past the Inheritance Tax threshold limit. The £25,000 excess would be taxed at 40%.

Inheritance tax can be avoided by leaving your assets to your spouse or civil partner, as they are exempt, however no exemption applies to co-habiting couples.

Another way of reducing Inheritance Tax on your estate is to make a donation to charity. Any donations made to charities are completely free of inheritance tax whilst if you left the same amount to an individual it may be liable to a 40% deduction.

If you would like to leave a gift in your will to Rossendale Hospice, please advise your solicitor or use the wording recommended on our ‘How Should I Word My Will’ page.

If you would like further information regarding leaving a gift in your will to Rossendale Hospice, please contact Sam in confidence on 01706 253633 or by email at fundraising@rossendalehospice.org


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The content of this document should not be relied upon as a substitute from legal advice.
Rossendale Hospice advises anyone making or updating a will to seek independent advice from a solicitor

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