Parents advised about inheritance tax and probate

Parents have been offered advice to ensure the money they leave their children will not be hit by inheritance tax when using probate solicitors to execute their will.

A wealth management expert told Ftadviser.com that parents must make a will and think carefully if they plan to leave a large estate to their offspring, as failing to do so could leave their children with a large tax bill.

Neil Edwards, who specialises in tax solutions, told the news source that the average parent aims to leave a figure of around £335,000 to their offspring in the event of their death, which is £10,000 above the £325,000 inheritance tax threshold.

Mr Edwards warned parents that an inheritance tax of 40 per cent will be levelled on their assets if the figure goes above this.

He said: "IHT [inheritance tax] planning has become an increasingly common headache and many of those families affected are far from being super wealthy."

One solution is for people to provide children with some of their inheritance prior to their death, while others can be sought by consulting probate solicitors.

In addition, a report in the Telegraph suggested that probate lawyers play a useful role after the death of a loved one when "emotions run high".

Published by Phil Hammond