Inheritance tax planning service
Specialist IHT portfolio service
Do you know how much inheritance tax (IHT) may have to be paid on your estate? Inheritance tax is paid on the value of your estate when you die, but it can also apply to some gifts you make during your lifetime. Careful and expert inheritance tax planning now is vital to ensure you’re able to pass on more of your wealth on to the people and causes you choose.
Our inheritance tax planning and IHT portfolio service is all about passing on as much of your estate as possible, while also giving you flexibility and control over your arrangements.
Calculate your inheritance tax
IHT is payable on the value of anything you leave behind when you die. The standard rate is 40% and is due on any amount above £325,000 for an individual.
*This assumes that you aren't entitled to the residence nil-rate band, that your assets will not qualify for business relief, that you have not made any gifts in the last seven years, and your estates do not qualify for a reduced IHT rate of 36%. Our experts can advise on where the reduced rate may apply.
Independent inheritance tax planning experts
Effective inheritance tax planning is a considered and precise process, that forms part of a comprehensive wealth strategy encompassing all of your goals and assets. Our highly qualified personal wealth planners are not tied to any specific product or provider (not even Canaccord Genuity), so they can consider a broad range of solutions and make sure you have the best structures in place to meet your financial objectives.
Canaccord Genuity Wealth Management’s independent wealth planning service is not tied to any specific products or providers, which means we are free to consider all the available options and make sure you have the best structures in place to meet your financial objectives.
IHT planning and passing on wealth – how we can help
Your dedicated wealth planner will spend time making sure they understand your personal goals and plans for your heirs, as they could affect the inheritance tax payable on your estate. They will then develop a forward-thinking strategy to help achieve your objectives, aiming to maintain your lifestyle and legitimately manage the IHT due on your estate.
Importantly, they will also advise you on the right order to do things in, so as not to harm your IHT position or impact other areas of your wealth planning.
Our inheritance tax planning services include:
- Cash flow modelling – using cash flow modelling to create a robust forecast of your future income and expenditure, so you don’t spend or give away more than you can afford.
- Making the most of your allowances – making the most of the allowances available to you, to maximise tax efficiency, such as those gifts no longer included in your estate for IHT purposes, even if you die within seven years of making them.
- Gifting excess income and assets – working with you to decide what income and assets you can comfortably afford to give away, to manage your estate's IHT liability.
- Specialist investments – advising on how certain investments can be used to manage your IHT liability while offering growth potential to enhance your legacy. If you already invest through our investment management service, your wealth planner will work closely with your investment manager to restructure your portfolio.
Inheritance tax portfolio service
Canaccord Genuity’s own IHT portfolio is a simple and efficient strategy for managing IHT as many AIM shares benefit from business relief and offer growth potential.
It invests in a diversified range of established, profitable companies with favourable growth prospects chosen from the Alternative Investment Market (AIM). Once you've held an investment in certain AIM companies for two years, it no longer counts as part of your estate for IHT purposes, which is favourable to the seven-year rule for gifts and simple trust transfers.
Why choose our IHT portfolio service?
- We have a strong track record for delivering superior investment returns
- We actively manage the IHT portfolio so if we decide that the investments we’ve chosen are no longer suitable, or if they stop being eligible for Business Relief (BR), we can sell them. We can then reinvest the proceeds in another qualifying company without having to restart the two-year period.
- Investing in AIM lets you take advantage of a dynamic market of growing businesses
- Your inheritance tax portfolio can be included in your annual ISA allowance, so you benefit from tax-free growth
- You will be kept regularly updated with contract notes and quarterly formal valuations.
This service should be regarded as high risk as it is exclusively focused on equities. The portfolios are wholly invested in small capitalisation stocks. These companies are therefore more volatile and whilst they offer great potential, growth is not guaranteed. It is important to note that this should be seen as a long-term investment. The current inheritance tax rules and tax treatment of AIM shares may change in the future. We strongly recommend that clients discuss their financial arrangements with their tax adviser before investing, as the value of any tax reliefs available is subject to individual circumstances.
Investment involves risk. The value of investments and the income from them can go down as well as up and you may not get back the amount originally invested. Past performance is not a reliable indicator of future performance.
Our portfolios are designed to work over a typical investment cycle of 7-10 years, so we recommend you stay invested for at least seven years.
The information provided is not to be treated as specific advice. It has no regard for the specific investment objectives, financial situation or needs of any specific person or entity.
To find out more about our IHT Portfolio Service, request a call back from an independent wealth planner now.
Other wealth planning solutions
Comprehensive wealth planning
A full review of your finances, leading to a personal wealth management plan.
Bespoke planning, pension advice and cash flow modelling to help you achieve the retirement you want.
Long-term care planning
Holistic advice on achieving the right financial plan to see you comfortably through the rest of your life.
More on inheritance tax
We have always encouraged our wealth planning clients to include provisions for long-term care in their plans. This might be in a care home, but we have found that, since the pandemic, many people now prefer the idea of being looked after in their own homes.Read more
How can we help?
If you would like to know more about our IHT Portfolio Service, or want to speak to one of our team, get in touch. We will be delighted to give you more details.
How can we help?
If you would like to know how we can help with your investment management, wealth or financial planning needs, get in touch. We will be delighted to provide more details of our services.
Investment involves risk and you may not get back what you invest. It’s not suitable for everyone.
Investment involves risk and is not suitable for everyone.