Landlords would be well advised to ensure all records regarding their properties are kept up to...
Inheritance tax is charged on your death at a rate of 40% of the value of your assets that have exceeded the nil rate band. The nil rate band currently stands at £325,000.
From 6th April 2017, an additional residence nil rate band will apply, resulting in less IHT being paid when the family home is left to a direct descendant i.e. children or grandchildren, or other "qualifying beneficiaries". The additional nil rate band will start at £100,000 and is set to rise to £175,000 by 2021. Therefore, by that time there could be a potential combined nil rate band of £1 million for spouses or civil partners.
The terms of your will can affect the ability to claim the residence nil rate band, so it is important to review your will now.
If your estate is valued at over £2 million, the residence nil rate band is tapered down. However, you should still review your will and estate planning to see whether it is possible to arrange your affairs so that the residence nil rate band can be utilised.