Mike Morrison describes the massive changes to death benefits and highlights the potential pitfalls to be wary of
Undoubtedly, one of the biggest changes to the pension rules has been the removal of the so-called ‘death tax' of 55% on crystallised funds. There had been lot of speculation that the 55% rate could come down to 40% or even lower, but the Chancellor pulled another rabbit out of his hat with the announcement that the tax charge would be removed totally. This has led to much reappraisal and the realisation that pensions can now be used as a tax-efficient way of passing money down the generations. However, the new rules are full of potential pitfalls, emphasising the need for careful ...
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