Chapter: 2 - Inheritance Tax Mitigation: The Basics

Checklist

2.15

1. What, and of what value, are the individual's/family's current assets?

2.  Do they attract any IHT reliefs, eg for business or agricultural property?

3.  Is there an expectation of assets eg under a future inheritance from an aunt (which could perhaps be directed by the aunt’s Will to the next generation, as a reversionary interest constituting excluded property)?

4.  Is full use being made year by year, or as the occasion presents, of the basic lifetime exemptions?  Is a record being kept of such gifts (in particular)?

5.  Has an audit been done of family trusts, especially accumulation and maintenance and life interest trusts in being at 22 March 2006?

6.  In terms of IHT mitigation, what are the client’s wishes and how ‘aggressive’ does he wish (or is he prepared) to be?

7.  Is there any desire to take action with regard to the family home or homes?

8.  Of what assets might the taxpayer be able to divest himself eg chattels or investments, without prejudice to current living standards?

9.  What life assurance and pension arrangements are in place?

10. Have death benefits been written under appropriate trusts and letters of wishes kept up to date?

11.  For each adult member of the family, is there a Will in place and has it been recently reviewed?