In the News
Where there's a will ...................
When anyone writes about the subject of ‘Succession planning’ or the dreaded Inheritance Tax it is a given that the reader generally recoils in their chair, shudders and then moves on to a more appealing article. However, this vast topic should not merely be set aside as an issue to consider on a rainy day, as the implications of such neglect could have massive ramifications for you and your next of kin.
It has been reported that three quarters of the UK’s adult population have never prepared a will and that a large portion of the population that do have such a document in place have not recently reviewed it for its scope and adequacy.
If it was your understanding that you did not need a will because you expect all your assets to pass to your spouse on your death then you are sorely mistaken, and this could lead to serious consequences for your next of kin.
For the majority of the people who do not have wills, and whose estates are relatively modest, then such a document could be dealt with by a solicitor for the cost of a few hundred pounds.
Generally, however, it is the people whose estates exceed £300,000, often referred to as, ‘Middle England’, that are potentially at risk from more penal tax charges incurred during their lifetime and beyond.
So what can you do if you are part of the always affected ‘Middle England’? Some areas you may wish to consider and where we may be able to help are:
‘Succession Planning’ for your business
- On retirement will you sell out or transfer to other family members?- If selling to a third party, what’s it worth?- If selling to family or management, how can it be financed?
In considering the above there should be a full review of Shareholder’s Agreements and Memorandum and Articles of Association (the Company’s rule book).
Inheritance Tax Planning
- Have you prepared a will?- If yes, when was it prepared and does it need reviewing?- If no, don’t waste any more time!
If you believe that you are affected by any of the issues above and would like to discuss them further please contact us on 01204 534031 or email richard@warings.co.uk
21st August 2008