HMRC 'could receive more than will beneficiary'

A will beneficiary might be surprised to learn HMRC could receive the lion's share following the death of a loved one if steps are not taken to minimise the cost of inheritance tax.

The Daily Telegraph reports in certain circumstances - for example, when an individual owns an expensive property and has several children - more may be paid in levies than is passed to the surviving heirs, suggesting making a will is the best way to avoid this.

Additionally, a will beneficiary could find their inheritance is taxed at a higher rate than the owner paid while they were alive, as the assets of people living in properties worth more than £650,000 will be charged at 40 per cent, even if the owner survived on modest means during their life.

Making a will can allow individuals to gift assets to loved ones before they die, securing an estate from high levels of inheritance tax.

MSN Money recently reported executors of wills are also important, as they can be instrumental in protecting belongings from death duties.  

Published by Tessa Jones