Business Magazine

Inheritance Tax Update 2015

Posted on the 15 April 2015 by Jason Cherrington

Inheritance Tax Update 2015

Death and Taxes

With the General Election just around the corner and the various parties election campaigns now in full swing, one of the topics that keeps cropping up is that of Inheritance Tax and proposed changes to it.

Currently Inheritance Tax is charged on a persons estate at the rate of 40% on anything above the personal exemption threshold of £325,000.

For married couples its also possible on the death of the second spouse for Executors to apply to transfer over any unused relief from the first spouses estate meaning a maximum possible exemption of £650,000.

These rates have remained unchanged since 2009.

So lets now take a look at the main parties 2015 manifesto propositions with regards to any potential changes to Inheritance Tax thresholds.

Conservatives

As part of the Conservative party's 2010 election manifesto it was planned that inheritance tax threshold for property and other assets to be increased to one million, although once elected these plans were shelved as part of the coalition agreement with the Liberal Democrats.

Once again as part of their current 2015 election campaign the Conservatives have pledged to increase the Inheritance Tax threshold to one million.

Labour

A recent report in the telegraph has indicated that Labour do not plan to increase current inheritance Tax thresholds.

UKIP

As part of their manifesto UKIP have announced their plans to scrap Inheritance Tax altogether.

Liberal Democrats

Like Labour the Lib Dems have no plans to increase current Inheritance Tax thresholds.

Green Party

Whilst I haven't been able to find a definitive statement on Inheritance Tax from the Green Party, the fact that a recent article in the Express entitled "Green Party plans £200 BILLION in tax rises" leads me to safely assume they have no plans to make it easier on a deceased persons estate from a Tax point of view.

In Summary

From an Estate Planning point of view, out of the five main Parties mentioned above UKIP are the clear leader with their plans to abolish Inheritance Tax altogether, followed by the Conservatives. However as mentioned above the Conservatives do not have a great track record when it comes to keeping promises.

Once again it is looking like the election results will create the need for some form of coalition to be formed. If this happens it is of course possible that any of the above pledges and plans can change as the parties cosy up to one another to secure a deal.

From a personal point of view I think Inheritance Tax should be abolished altogether, its time to stop taxing the dead.

Abolishing it makes the subject of Estate Planning far simpler for clients to understand, reduces their costs and puts their Mind At Rest with regards to making a Will that ensures their family and loved ones benefit from their hard earned assets in full.

After all we all pay to much Tax whilst we are alive.

Related Links

Past Inheritance Tax Blog Posts

Sources

http://www.bbc.co.uk/news/election-2015-32312687
http://www.bbc.co.uk/news/uk-politics-31920289
http://www.theguardian.com/politics/2015/apr/14/inheritance-tax-relief-e...
http://www.telegraph.co.uk/news/general-election-2015/11532277/Labour-ma...
http://www.express.co.uk/news/politics/570413/Green-Party-plans-200bn-ta...

Catagory: Inheritance Tax Planning

You Might Also Like :

Back to Featured Articles on Logo Paperblog

These articles might interest you :

  • Opera Review: A Piece of Fairy Cake

    Opera Review: Piece Fairy Cake

    Joyce DiDonato sings a radiant Cendrillon at the Met. by Paul J. Pelkonen The lighting department: Joyce DiDonata as Cinderella in Massenet's Cendrillon.Photo b... Read more

    10 hours, 16 minutes ago by   Superconductor
    CULTURE, THEATRE & OPERA
  • What Mother Can’t Get Her Childs Birth Date Right?

    What Mother Can’t Childs Birth Date Right?

    I haven’t blogged in about ten thousand years. Since the Earth is only around 6 thousand years old, I take full responsibility for messing up that Math for you... Read more

    11 hours, 52 minutes ago by   Rachel Rachelhagg
    FAMILY, PARENTING
  • FIREFIGHTER – Seattle Fire Department (WA)

    FIREFIGHTER Seattle Fire Department (WA)

    City of Seattle Fire Department, (WA) FIREFIGHTER Salary:  $72,900.00 annually ****To reserve your spot, please sign up!**** City of Seattle Fire Dept. (WA)... Read more

    13 hours, 55 minutes ago by   Firecareers
    SOCIETY
  • Afghanistan: Once Again a Pawn Between Two World Powers

    Afghanistan: Once Again Pawn Between World Powers

    by Jon PhillipsRESTREPO chronicles the deployment of a platoon of US soldiers at one of the most dangerous outposts in Afghanistan. Read more

    The 19 April 2018 by   Rvbadalam
    CURRENT, DEBATE, POLITICS, SOCIETY
  • Abu Dhabi to Dubai

    Dhabi Dubai

    Most of the people who are living in the United Arab Emirates. Trying figure out how to travel between Abu Dhabi to Dubai. On the positive side, traveling... Read more

    The 19 April 2018 by   Dubai City Company
    CAREER
  • Video: Kilimanjaro - Mountain of Greatness Trailer

    Video: Kilimanjaro Mountain Greatness Trailer

    This video is a trailer for a full-length documentary called Kilimanjaro: Mountain of Greatness. It follows mountain bikers Hans Rey, Danny MacAskill and Gerhar... Read more

    The 19 April 2018 by   Kungfujedi
    OUTDOORS
  • A Full Spectrum of Poses and Practices

    Full Spectrum Poses Practices

    by NinaOne of the reasons I started the Photo of the Day project on Facebook was because of the way older people are typically portrayed in the media: almost... Read more

    The 19 April 2018 by   Ninazolotow
    FITNESS, HEALTH, HEALTHY LIVING

Magazines