A Guide To INHERITANCE TAX - St James's Place

Your Will
A Will is vital in helping, among other things, to mitigate
IHT. Failure to make one sees your assets distributed
according to intestacy rules. Furthermore, do not
assume that a Will made many years ago is still going
to hold good. Wills need to be reviewed on a regular
basis and especially after any changes in your financial
circumstances, such as divorce or the birth of a child,
not to mention a plethora of legislative changes. Unless
specifically written in contemplation of marriage, a Will
written before a marriage will become invalid following
the marriage. A carefully drafted Will can give you the
opportunity to ensure that your estate passes to the
beneficiaries in a tax-efficient manner and ensures that
your assets are directed as you see fit.
By directing assets to your spouse/civil partner on death,
your individual Nil Rate Band remains unused but can
be carried forward for use in the future. However, by
passing (via your Will) an amount equal to the prevailing
Nil Rate Band to a trust arrangement on your death, it
is possible for you to still achieve significant IHT savings
whilst preserving the financial security of your spouse/
civil partner. Further information can be obtained from a
professional adviser.
Will writing should only be conducted by experienced
legal practitioners and is a separate and distinct
service provided by third parties with whom we work.
Wills and trusts are not regulated by the Financial
Services Authority.
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PARTNERS IN MANAGING YOUR WEALTH