Proper IHT planning a good debt management solution
Proper IHT planning a good debt management solution
Tuesday 12th May 2009
Figures from professional advice website Unbiased.co.uk show that billions of pounds are being wasted by people in the UK through poor IHT planning, money that could be used for other things such as debt reduction.
This poor planning results in British people wasting more money on the so-called 'death tax' than any other levy in the country, despite the fact that it is the fourth most resented charge after fuel duty, council tax and the TV licence fee.
According to the annual research, lack of proper IHT planning has resulted in a 16 per cent increase in the amount of money wasted compared to 2008, which is equivalent to £314 million.
Despite the current economic climate, which is impacting upon the values of properties in the country, this tax wastage is set to continue because many properties are still valued at more than the current IHT nil rate threshold of £325,000.
"Extraordinary sums are being lost from estates because the deceased has not made adequate provision for inheritance tax," explained David Elms, the chief executive of Unbiased.co.uk.
"This can prove an additional unwelcome stress for the deceased's family at an already difficult time, since this tax must be paid before the estate is released and any inheritance can be passed on."
He went on to urge consumers to contact an independent financial adviser to discuss their tax liabilities, saying that such a professional will provide guidance to suit an family's financial situation.
Taxpayers in the UK will part with £10 billion in unnecessary taxes this year alone, according to data from the TaxAction 2009 report.
News article brought to you by Debt1 – Confidential, helpful and friendly debt management.
Related News
New Abbey card makes debt management easy - 11/05/09
Holidaymakers planning to take their annual summer break can reduce the chances of falling into debt as a result of additional credit card charges by taking advantage of a new product that has been introduced by Abbey
Holidaymakers planning to take their annual summer break can reduce the chances of falling into debt as a result of additional credit card charges by taking advantage of a new product that has been introduced by Abbey
New smart meters to help with debt management - 11/05/09
The risk of consumers being inadvertently plunged into debt as a result of estimating energy bills is set to be brought to an end with the introduction of smart meters
The risk of consumers being inadvertently plunged into debt as a result of estimating energy bills is set to be brought to an end with the introduction of smart meters
Proper debt management could be needed for current mortgage deals - 08/05/09
Requirements that have been placed on a number of current mortgage products are likely to leave many in need of debt management solutions in the future
Requirements that have been placed on a number of current mortgage products are likely to leave many in need of debt management solutions in the future
Secret cards could be hiding need for debt management solutions - 07/05/09
Secret credit cards held by spouses could be carrying hidden debt, according to new research from Halifax, which shows that people are not always honest about how many cards they hold
Secret credit cards held by spouses could be carrying hidden debt, according to new research from Halifax, which shows that people are not always honest about how many cards they hold
Debt management solutions recommended for landlords - 06/05/09
Good debt management solutions such as overpaying on mortgages can help landlords and buy-to-let investors steer clear of falling into debt
Good debt management solutions such as overpaying on mortgages can help landlords and buy-to-let investors steer clear of falling into debt
News Article Search
Quick Apply
News Archive