It should be raised to a million pounds at the very least .
And would have been but for that twit Clegg who put the kibosh onto it .
( and then b******d off to make his millions working for Amazon or something )
The family home nonsense ( whereupon you can pass the family home down up to £500k ) is complicated and unfair .
First it’s needs two of you , then you can only pass it down only to children or grandchildren.
No nephews nieces sisters brothers .
It’s tough if you have no direct descendants.
There was a case of two elderly sisters who had lived together all of their lives in a home that had belonged to their parents . It had risen hugely in value and meant that which ever one died first the other would have to leave her home in order it be sold to pay the IHT . They took it to court and lost .
Another get out for the seriously wealthy is that IHT is not paid on farms .
Who is the one of the greatest owners of farmland in the U.K.
Why our new King of course so as well as getting the inheritance from Mummy gratis he can also claim
on any farmland he might inherit or when he dies Prince William will have the IHT double whammy .
At the very least it should be £500k per person simple as that .
Many countries don’t have IHT ie Australia,New Zealand ,Norway ,Sweden Canada Israel to name but a few .
It’s 14 years since the threshold was frozen abd it will remain so until 2026 unless truss changes something .
You raise good and valid points.
But there are gaps in your arguments. First, the rises in house prices represent the biggest chunk of free, unearned money for those lucky enough to be property owners over the last few decades. It does some reasonable, surely, that a slice of that free money is taxed.
Second, the money from inheritance goes to a recipient as new money. Not money that has already been taxed. No-one complains when we spend on goods with VAT that the money we use has already been taxed. The ‘its already been taxed’ claim is not valid.
But you make a good point about the threshold not rising. That seems wrong.
The process is complicated Ripple .
That’s why people don’t do it .
It discriminates against those that don’t are children
It would have been easier to just raise the threshold to 500k per person ( as George Osborne wanted to but was stymied by Clegg - who simpleton that I am I voted for ! )
You need to get a good solicitor.
My sons relieved part of their inheritance some years ago so avoiding the 7 year clause. I also wanted to see them enjoying it.
We used an inheritance adviser. Nearly everything in place, and although it cost a few quid, it’ll pay back in terms of lower probate and IHT when the time comes.
So lets say the average homeowner has an estate totaling £500,000…They will pay inheritance taxed at 40% on £175,000…= £70,000 That will leave the kids with £430,000 that they never had…Although most of the working classes who live here don’t live in half a million pound houses and a second hand motor will only be worth 10 grand if your lucky.
Oh come off it Foxy you are not at the pit face are you ?
Nor is anyone up there - there aren’t any pits !
So you lot do the same work for the same pay but get cheaper houses .
It’s a good thing for the super rich. They have not raised thresholds deliberately because they cream off the hard word of those who are not super rich. Meanwhile the super rich can afford to structure their tax affairs to remove their estate from the reach of the taxman. It’s easier to feed off the small fry than the big fish.
