There are a couple changes going on in the Wills, Trusts & Estate Administration practice area at the moment. Below we set out some key points to note:-
- Residence Nil Rate Band
As of 6th April 2017 anyone leaving property to a direct descendant will qualify for an additional £100,000 of Inheritance Tax allowance (increasing year on year), which is also transferable to a spouse if you do not use the allowance on your death. The specific rules surrounding this relief are complex and you should review your Wills and seek advice if you are concerned about whether you will qualify.
Things to look out for-
- If your estate is over £2million then the relief will start to decease, it may be worth reviewing your estate to see if you can reduce the value in order to qualify for the relief
- Trusts – do your Wills have Trusts in them? A trust only for a surviving spouse is usually acceptable but Discretionary Trusts can cause difficulties in applying for this relief
- Have you left part of your estate to grandchildren at an age above 18? The relief cannot be claimed if grandchildren are not allowed to inherit at 18.
- Lasting Power of Attorney Registration Fees
Some good news to report here as the registration fee has been reduced from £110 per document to £82 per document! Now is the perfect time to prepare and register Lasting Powers of Attorney.
It is also important to note that this registration fee also applies to registering Enduring Powers of Attorney – don’t forget these must be registered if the Donor has lost or is losing mental capacity to manage their affairs!
We would be more than happy to have a Will and Power of Attorney review with you and to arrange an appointment please give us a call on 0118 9756622 or email firstname.lastname@example.org.