UK Landlord Forum / Life

Just wondering, can you actually avoid inheritance tax? The issue has always interested me.

For example, if someone close to me dies and leaves me with a house, is there anyway I can avoid the tax?

I have a few questions, hopefully someone out there will know the answers...

1) if the property is transferred to my name or joint ownership before the death, do I still have to pay inheritance tax? I heard you only pay tax if you're name is assigned to the property if the person dies with in 6 years of the name transfer. Is that true?

2) Do I only pay tax on the property if I decide to sell the property? What if I decide to keep it- am I still liable to pay the tax?

3) From what I'm aware, you get taxed on everything you inherit after the 250k mark. What's the actual rate?

If anyone has any info, please share

I found a few of links for you. I went through them briefly and i'm sure they'll help to some extent. Much of what I read insists people make wills to assure certain issues like these, don't come up after their passing, and disturb their loved ones.

http://www.willpeople.co.uk/iht.htm

http://www.fool.co.uk/Your-Money/guides/Avoiding-Inheritance-Tax.aspx

http://www.uknetguide.co.uk/Finance/Article/How_To_Avoid_Inheritance_Tax.html

http://www.avoidinginheritancetax.com/

Just a thought - a suicide pact?

That should avoid any tax due and have the added advantage of wiping out your debt too!

Cheerio,

Frying Bullet.

There is no magic bullet with this one as the net gets tighter and tighter each year !

cheers

simhar

Web: Properite Landlord Software - http://www.properite.co.uk