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Inheritance tax planning

Inheritance tax is usually classified as a "voluntary tax" payable to the government of the day out of our estate on death.


These pages aim to give you a brief background to Inheritance Tax, how it is calculated and some of the options on how to reduce it. The information is sourced from the Inland Revenue. It is intended as a guide as to action or decisions you might wish to take in respect of inheritance tax estate planning. We can take no responsibility for any such decisions you might take after reading this site without seeking specific advice from us.


As a starting point we would always recommend you commence planning for inheritance tax by working with us to help calculate the current inheritance tax liability on your estate. Once your current liability has been established we can recommend to you the most appropriate strategy to meet your personal circumstances, which may include referring you to a specialist solicitor who can also provide you with invaluable and knowledgeable legal guidance.


Several legal means can be employed to either mitigate or remove this tax burden from our estate upon death, to ensure your nominated beneficiaries can have easy access to the full inheritance you have provided.


We can take no responsibility for any decisions you might take after reading this site without seeking specific advice from us.


Who pays out the Inheritance Tax?


The 'personal representative' (the person nominated to handle the affairs of the deceased person) arranges to pay any Inheritance Tax that is due.
You usually nominate the personal representative in your will (you can nominate more than one), in which case they are known as the 'executor'. If you die without leaving a will a court can nominate the personal representative, in which case they are known as the 'administrator'.

Deadline for paying Inheritance Tax

In most cases, Inheritance Tax must be paid within six months from the end of the month in which the death occurs, otherwise interest is charged on the amount owing.
Tax on some assets, including land and buildings, can be deferred and paid in installments over 10 years.