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Advice please on choosing a I.H.T. advisor.
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Ramondo
Posted: 16 November 2022 17:39:41(UTC)
#1

Joined: 20/10/2018(UTC)
Posts: 701
I've been negligent in seeking advice etc with regard to I.H.T. as a result the years have rolled by too quickly and I need help/advice in trying to leave as little as possible to H.M.R.C and as much as I can to my family.

Help/advice in regard to steps to take and are I.H.T. specialist advisors worth their fee?
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Ramondo
Posted: 20 November 2022 07:33:46(UTC)
#2

Joined: 20/10/2018(UTC)
Posts: 701
[quote=Ramondo;248081]I've been negligent in seeking advice etc with regard to I.H.T. as a result the years have rolled by too quickly and I need help/advice in trying to leave as little as possible to H.M.R.C and as much as I can to my family.

Help/advice in regard to steps to take and are I.H.T. specialist advisors worth their fee? [/qu


From the lack of a single reply, I've either not worded my post well enough or I'm not sure what?
No interest in the subject or members do there own I.H.T. planning

Perhaps I could try another tack?

Has any member used the offers available from HL, Fidelity etc for financial/I.H.T advice and their experience of it.

Hopefully some response -)
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Steve L.
Posted: 20 November 2022 07:56:01(UTC)
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Joined: 23/10/2011(UTC)
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I would be tempted to approach a local accountancy / tax firm - depending on complexity I would look for someone CTA qualified- Chartered Institute of Taxation. That way you can manage the investment side and any conflicts separately.
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2 users thanked Steve L. for this post.
Ramondo on 20/11/2022(UTC), jeffian on 20/11/2022(UTC)
D Bergman
Posted: 20 November 2022 17:44:51(UTC)
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Joined: 22/03/2018(UTC)
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Both I and a richer friend have used Brewin Dolphin wealth mangers to set up trusts for legal IHT avoidance.

They have a department called "1762" - https://www.brewin.co.uk/1762
We have found them to be very useful and reliable; these services are not cheap but a lot less than paying IHT!
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4 users thanked D Bergman for this post.
Jimmy Page on 20/11/2022(UTC), Tim D on 20/11/2022(UTC), Ramondo on 21/11/2022(UTC), Baron Wuffet on 24/11/2022(UTC)
Tug Boat
Posted: 20 November 2022 18:11:04(UTC)
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A good private client solicitor with STEP.
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Ramondo on 21/11/2022(UTC)
MarkSp
Posted: 20 November 2022 18:17:15(UTC)
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Joined: 02/02/2020(UTC)
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A friends partner died in the summer. Ruptured brain aneurysm - all over in a minute.

Despite being together for 20 years they weren't married and she had a significant portfolio
and a sizeable property portfolio she inherited at the beginning of the year.

IHT liability is enormous - 7 figures.

It really made me add up my overall pot especially given my life insurance via the company is nearly £750k on its own.
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2 users thanked MarkSp for this post.
Tim D on 20/11/2022(UTC), Ramondo on 21/11/2022(UTC)
Raj K
Posted: 20 November 2022 18:38:00(UTC)
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MarkSp;248590 wrote:


A friends partner died in the summer. Ruptured brain aneurysm - all over in a minute.

Despite being together for 20 years they weren't married and she had a significant portfolio
and a sizeable property portfolio she inherited at the beginning of the year.

IHT liability is enormous - 7 figures.

It really made me add up my overall pot especially given my life insurance via the company is nearly £750k on its own.


Aren’t life insurance policies normally written in trust so they fall out of the estate for IHT ?
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1 user thanked Raj K for this post.
Ramondo on 21/11/2022(UTC)
countrymum
Posted: 20 November 2022 18:43:55(UTC)
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Raj K;248593 wrote:
MarkSp;248590 wrote:


A friends partner died in the summer. Ruptured brain aneurysm - all over in a minute.

Despite being together for 20 years they weren't married and she had a significant portfolio
and a sizeable property portfolio she inherited at the beginning of the year.

IHT liability is enormous - 7 figures.

It really made me add up my overall pot especially given my life insurance via the company is nearly £750k on its own.


Aren’t life insurance policies normally written in trust so they fall out of the estate for IHT ?

Yes surely the fact that you are already dead before the policy pays out (IE you have to be dead for it to trigger) means it can't be in your estate as you are.... Dead? And the policy beneficiaries are whomever you have named IE not yourself?

Then presumably that pot can be used to pay any iht liabilities without having to go through probate etc first?

I could have this all wrong of course.
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Ramondo on 21/11/2022(UTC)
Raj K
Posted: 20 November 2022 19:03:09(UTC)
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Joined: 22/04/2016(UTC)
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@countrymum

taken from MSE

If you die with an active life insurance policy, the payout forms part of your estate, which could mean it's hit with a huge whack of Inheritance Tax. Yet, in many cases it's possible to avoid this by writing the policy in trust, if it's done at the time the policy is taken out.

If the policy is written in trust, the insurance pays out directly to your dependants, so it never becomes part of your estate, which avoids inheritance tax and often speeds up the payout.

It's relatively easy to do as most insurance policies include the option (and papers) for writing in trust directly at no extra charge. Note that there are different types of trusts and they can be difficult to change or cancel, even if all your beneficiaries agree, so think carefully about who a payout would be going to.

If you know what you're doing, you can write the policy in trust yourself. If not, seek advice from a top advisory broker or see our guide on Independent Financial Advisers.
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5 users thanked Raj K for this post.
D Bergman on 20/11/2022(UTC), Rob B on 20/11/2022(UTC), countrymum on 20/11/2022(UTC), Dexi on 21/11/2022(UTC), Ramondo on 21/11/2022(UTC)
Newbie
Posted: 20 November 2022 19:18:56(UTC)
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Raj K;248593 wrote:
MarkSp;248590 wrote:


A friends partner died in the summer. Ruptured brain aneurysm - all over in a minute.

Despite being together for 20 years they weren't married and she had a significant portfolio
and a sizeable property portfolio she inherited at the beginning of the year.

IHT liability is enormous - 7 figures.

It really made me add up my overall pot especially given my life insurance via the company is nearly £750k on its own.


Aren’t life insurance policies normally written in trust so they fall out of the estate for IHT ?

They should be
However they are usually not
The reason being that the vast majority are sold by sales agents (including online / telephone ones) or people who are not trained to give advice as they are not aware of the need to do so or that they are aware but as they cannot give that advice they choose to ignore and focus on the sale for the commission (such as mortgage advisers.
I remember a couple of years ago that you go into a bank and get life/mortgage cover and even though they were with the same provider on the same terms, the one provided by mortgage broker was actually more expensive by the one provided by the wealth adviser and the wealth adviser knew to put the policy in trust whilst the mortgage adviser came clean that they could not write it in trust. However it did not stop them trying to get the business on some weak ground that because you were likely to review your mortgage it made sense to stick with them.
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2 users thanked Newbie for this post.
Raj K on 20/11/2022(UTC), Ramondo on 21/11/2022(UTC)
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