FAQs

1. What Inheritance Tax relief is available for my business?

   You can claim Business Property Relief on business assets, and those assets are either 100% or 50% exempt from Inheritance Tax.

   You can obtain 100% relief on:
   • A business or interest in a business;
   • Shares in an unlisted company.

   You can obtain 50% relief on:
   • Shares controlling more than 50% of the voting rights in a listed company;
   • Land, buildings, or machinery you own and use in a business you are a partner in or have control of;
   • Land buildings or machinery used in the business and held in trust that the business has the right to benefit from them.

   We highly recommend meeting with one of our lawyers to discuss your business interests, who will then provide you with a breakdown of the Inheritance Tax that is likely to be paid on your estate and suggest tax-efficient ways to mitigate this.

   *There are some conditions to these lists in order for the assets to qualify.

2. What is a Will?

   A Will is a legal document that sets out what you would like to happen to your assets when you pass away. If you do not make a Will, your estate will be dealt with under the laws of intestacy, and your estate may be distributed to family members whom you would not have wished to inherit.

   In your Will, you appoint executors, who are people you trust to deal with your estate, guardians to look after any minor children, and beneficiaries who will inherit your estate assets.

3. Do I need Lasting Powers of Attorney for my business?

   If you own a business, it is vital you make Lasting Powers of Attorney to ensure that if you lose capacity and are unable to make your own decisions, someone you trust can make those decisions on your behalf.

   If you lose capacity without making Business Lasting Powers of Attorney, this may cause issues for your company and even make small tasks very difficult, for example, using the business bank account.

4. Do I need to update my partnership or cross-option agreements when making a Will?

   As part of our fact find with you we will check your partnership agreement or articles of association and suggest any recommended amendments to ensure that your wishes are carried out on death and check that the business will have the funds available to pay to your estate on death.  We will check that the necessary cross options are in place and if not make our recommendations on what is required to effect your wishes.

5. Why do I need Inheritance Tax advice?

   Inheritance Tax planning is vital for maximising your estate and reducing your Inheritance Tax liability. Through tax-efficient planning, you may be able to save over £1 million in Inheritance Tax which would have been payable had you not obtained legal advice.