Inheritance Tax Archives - WRLO Accountants

Almost half of UK adults have not written a will

WRLO Accountants — Sun, 17 Nov 2024 18:17:21 +0000

Nearly half UK of adults have not written a will, nor are they currently in the process of doing so, according to research published by life insurer Canada Life. Over a quarter said they do not have enough assets or wealth to warrant making a will, closely followed by 20% who believe they still have plenty of time to make one. Additionally, the research found that 15% do not want to pay to write a will, while 14% believe their loved ones will inherit their assets automatically. Stacey Love, Tax and Estate Planning Specialist at Canada Life, said: ‘Passing away without a will in place can place a significant burden on our loved ones. However, our research highlights that, up and down the country, people are not planning ahead or having conversations about the future. ‘No matter your age, writing a will should be a priority, even if you don’t think you have any real wealth to pass on. It’s also very important to have open, honest conversations with your loved ones about your inheritance plans, so they know what to expect. ‘Once your will is written, remember to review it every few years to make sure it remains accurate. […]

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Chancellor promises to drive growth and raises £40 billion in taxes

WRLO Accountants — Sat, 02 Nov 2024 16:07:31 +0000

Chancellor Rachel Reeves pledged to ‘invest, invest, invest’ to drive growth and ‘restore economic stability’ in the Autumn Budget. The Budget, which was Labour’s first in over 14 years and the first ever delivered by a female Chancellor, saw £40 billion in tax announcements. Ms Reeves repeated her claims that the government had inherited a £22 billion ‘black hole’ in the public finances from the Conservatives. Pre-Budget speculation had centred on the likelihood of increases to employers’ National Insurance contributions (NICs), Capital Gains Tax (CGT) and Inheritance Tax (IHT). The Chancellor announced an increase to the rate of employer NICs by 1.2 percentage points to 15% from 6 April 2025. However, the Secondary Threshold – the level at which employers become liable to pay NICs on each employee’s salary – will reduce from £9,100 per year to £5,000 per year. CGT on non-residential assets will increase from 10% to 18% for those paying the lower rate, and 20% to 24% for those paying the higher rate for disposals from 30 October 2024. These new rates will match the residential property rates. The CGT rates applicable to assets qualifying for Business Asset Disposal Relief (BADR) and Investors’ Relief will remain at […]

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Reforms to IHT, CGT and NI ‘could raise over £20 billion a year’

WRLO Accountants — Fri, 04 Oct 2024 19:07:55 +0000

The Resolution Foundation has suggested that reforms to inheritance tax (IHT), capital gains tax (CGT) and national insurance (NI) could raise more than £20 billion a year. The Foundation said that the reforms could also pass a ‘triple tax test’ of improving tax efficiency, making sure that tax rises fall on those with the broadest shoulders. It said that Chancellor Rachel Reeves has ‘greatly limited’ her revenue raising options by pledging not to raise the main rates of income tax, corporation tax, VAT or NI. According to the Resolution Foundation, CGT is ‘ripe for reform’ as rates are ‘unjustifiably lower’ compared to those on other forms of income. Adam Corlett, Principal Economist at the Resolution Foundation, said: ‘There is widespread speculation about what might be in the first Budget of the new Parliament, but overall tax rises are a dead cert and time-honoured tradition. ‘Long overdue reforms to IHT, CGT and pension contribution reliefs would fit the bill and could raise over £20 billion if needed, while also making the tax system fairer and more consistent between different taxpayers.’ Internet link: Resolution Foundation website

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