IHT planning in action: Small amounts add up to make a big difference

Mony a mickle maks a muckle

clock • 4 min read

IHT exemptions may seem small but understanding the rules and using them effectively, can achieve big results for clients and their beneficiaries, writes Barrie Dawson

The Office for Budget Responsibility has forecast that inheritance tax (IHT) receipts will continue to rise and by 2028/29 will total £9.7bn a year, up from £7.5bn in 2023/24. As more and more estates are set to pay IHT, financial advisers have an increasingly important role in helping clients to plan tax-efficiently for their and their family's long-term financial futures, in a way that suits their individual circumstances. While the annual £250 and £3,000 IHT exemptions may seem small, understanding the rules and using them effectively, can achieve big results for clients and their ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Tax planning

Passing on wealth: How IHT changes will affect pension planning

Passing on wealth: How IHT changes will affect pension planning

'Change could result in significantly higher tax liabilities '

Joshua Croft
clock 11 March 2025 • 4 min read
How family farm businesses could be hit by Budget IHT relief overhaul

How family farm businesses could be hit by Budget IHT relief overhaul

Financial planner Luke Lodge's personal perspective

Luke Lodge
clock 10 March 2025 • 6 min read
IHT changes trigger 'significant shift' in advice

IHT changes trigger 'significant shift' in advice

IFAs have re-evaluated role of pensions in their clients’ plans

Isabel Baxter
clock 10 March 2025 • 2 min read