Almost half dodge inheritance tax

New research has found that nearly half of people avoid inheritance tax by giving sections of their estate away to loved ones before their death, rather than it going to them through wills and probate.

The survey by Aviva found that 46 per cent of people had been given a pre-inheritance, while over 50 per cent of those with pre-inherited wealth had it bestowed on them by their parents.

"... We know that people are living longer, so when they actually think about what this means for their beneficiaries, they may decide they want to pass on some of their wealth sooner," Clive Bolton from Aviva said.

In addition, one-quarter of the 1,400 adults questioned got their pre-inherited wealth from their grandparents.

Furthermore, the importance of inheritance tax planning was shown by a recent case in which new management took over a Faversham tourist attraction as a result of its owners being subject to large inheritance tax expenses. Thisiskent.com reported that farming World in Kent will now be reopened by Easter.

Published by Hannah Carr