Conference watchers will recognise these words spoken by George Osbourne in his speech at the recent Conservative Conference. The speech from Gordon Brown the week before at the Labour Conference contained the equally vague statement as to the intentions of the Labour party - “the Conservatives want to cut inheritance tax for the 3,000 wealthiest Estates [in Britain], so that means even less money for frontline services.”

As a consequence, there is still no clear guidance for estate planners and practitioners on what is going to happen to the complex fiscal structure of Trusts and Estates following the 2010 election.

Fact 1
Overall tax revenues continue to slump and as each forcast is released from the HMRC, the projected Inheritance tax drops.

Inheritance Tax Projections: Source HMRC Annual Receipts

November 2008 estimate ~ £3.2 billion

December 2008 estimate ~ £3.1 billion

April 2009 Estimate ~ £2.9 billion

August 2009 Actual ~ £2.8 billion

Fact 2
The UK economy has shrunk for five consecutive quarters, meaning the country has now been in recession for more than a year. Economists were expecting the UK economy to return to growth in the third quarter of the year, between July and September. However, leading financial institutions suggest the recovery will be slow, with unemployment remaining stubbornly high for some time to come.

Fact 3
An election must be held before June 3rd of next year.

Fact 4
No one knows if property has really recovered, if the collapse in share prices will be repeated or if the banks have really recovered.

With this backdrop, it is interesting to assess some of the changes in the market.

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A couple of terms associated with probate

If the person who has died leaves a will:

In this case one or more ‘executors’ may be named in the will to deal with the person’s affairs after their death. The executor applies for a ‘grant of probate’ from a section of the court knows as the probate registry. The grant is a legal document which confirms that the executor has the authority to deal with the deceased person’s assets (property, money and possessions). They can use it to show they have the right to access funds, sort out finances, and collect and share out the deceased person’s assets as set out in the will.

If the person who has died didn’t leave a will:

If there is no will, a close relative of the deceased can apply to the probate registry to deal with the estate. In this case they apply for a ‘grant of letters of administration’. If the grant is given, they are known as ‘administrators’ of the estate. Like the grant of probate, the grant of letters of administration is a legal document which confirms the administrator’s authority to deal with the deceased person’s assets. In some cases, for example, where the person who benefits is a child, the law states that more than one person must act as the administrator.

Contact us for advice and guidance on Grant of Probate Services

Read The Full Article to learn more terms.

Inheritance inclusions

A person’s estate includes everything owned in their name; the share of anything owned jointly; gifts from which they keep back some benefit, such as a home given to a son or daughter but still lived in by the parent; assets held in some family trusts from which they receive an income.

Against this total value is set everything that the deceased person owed, such as, any outstanding mortgages or loans, unpaid bills, and costs incurred during their lifetime for which bills have not been received, as well as funeral expenses.

Some gifts that are exempt

Some cash gifts are exempt from tax regardless of the seven-year rule. They include: wedding gifts of up to £5,000 to each of your children; wedding gifts of £2,500 to each grandchild, and wedding gifts of £1,000 to anyone else; other gifts of up to £3,000 a year (plus any unused balance of £3,000 from the previous tax year); gifts of up to £250 each to any number of people each year; gifts to charities, the National Trust, national museums, the main political parties and most registered housing associations.

Read The Full Article Here

For Inheritance Tax help contact us today

Successive governments have viewed family trusts as a tax avoidance ruse and have imposed increasingly unfavourable taxes; most recently in 2006 with the introduction of 20pc inheritance tax (IHT) on setting up a trust worth more than the nil rate band (currently £325,000 per person). From April 6 2010, many trusts will also be liable to tax at 50pc on income it receives, so the tax incentives for creating trusts are diminishing.

However, the history of trusts is very different; its purpose not being to avoid tax but to provide a very effective way of protecting assets, typically family wealth, for future generations. Protect from whom? Well, not just the taxman but in some cases it can protect from legal challenges, marriage breakdown and frivolous children who may be tempted to blow the lot on yachts, cars, expensive holidays and many other things I will leave you to imagine.

Trusts can be set up at different times, for example at any time during an individual’s lifetime if they want to make provision for someone; on perhaps a special occasion such as the birth of a child or the marriage of an adult child; or on death – a trust can be created in a will.

Read Full Telegraph.co.uk Article Here
By Gary Heynes

Contact us if you have any concerns over your own family inheritance tax.

Also, being an executor of a will is a responsibility that some of us might be a little wary of taking up. The entire process is difficult as well as time consuming and comes with a lot of financial and tax related aspects that need to be sorted out. Most of us would not be able to make light of this huge responsibility of taking care of the deceased’s obligations as executors of his will. What we can do instead is take the help of professionals having experience in all the legal aspects and make the most of the probate advice so obtained.

Expert probate advice is necessary when a person passes away with or without a will in place. In case there is a will, the executors need to prove it at the Probate Registry and obtain a grant of probate. Such a grant is very much required for the executors to claim their share in the estate. In case the person dies without a will, the eligibility of the inheritors needs to be determined under the Administration of Estates Act 1925. In such instances also, one cannot do without probate advice.

The probate solicitors and experts would help us in understanding the duties of an executor. These people would help us in identifying all the assets of the deceased and assist us in estimating the claims against the estate. We would need to obtain a valuation of all the joint as well as sole assets of the deceased. Then, there are the issues related to preparation of tax returns and obtaining tax clearances. There are court forms that need to be filled and completed and accounts for the beneficiaries that need to be drawn up. In all these different areas, probate advice is very much essential.

And where can one get the best and the most comprehensive probate advice? Contact Probate Services London today, we’re here to answer your questions.

Once a person dies without a will, it is quite common for the survivors and inheritors to fight it out with one another for the property in question. In many such instances, greed rears its ugly head and people who were otherwise quite close to one another, find themselves torn apart over the distribution of material goods. So, how does one resolve such a problem?

The best way to go about it is to hire the services of probate solicitors. These lawyers having an experience in probate laws and the implementation of the same would help their clients in establishing eligibility in inheriting the estate.

Probate solicitors in the UK also offer other related services. They help the executors in determining the inheritance tax that they would be required to pay, under the Inheritance Tax Act, 1984. They work with the executors to keep the tax bills to a minimum and declare the payment of Inheritance Tax to the Inland Revenue. Many a times, the probate solicitors work together with accountants and financial advisors and ensure that the tax related issues are cleared swiftly and efficiently.

In cases where there is a will, probate solicitors help an executor prove its validity at the Probate Registry; they act on behalf of the executors of a will and help the client attain a grant of probate. Without this certificate, one cannot stake his claims to the assets of a deceased and so, the help of the probate solicitors in this specific area is much in demand.

There are quite a few probate solicitors of repute with expertise in wills and probate that offer probate services in London and adjoining areas. These expert lawyers can help you deal with the traumatic and confusing time, after the death of a loved one. You can leave all the practical aspects of dealing with the estate of the deceased to these professional lawyers and spend some time remembering your friend or relative. Also, their services are reasonably and competitively priced- another factor that makes them very popular.

Do you want to know more about probate solicitors and probate services in London? Please contact us today, we’re here to help.

Some people might be rather skeptical in using the Internet to search for a probate specialist. They might be of the opinion that the probate solicitors offering their services through this medium are not reliable. Nothing could be further from the truth. In this day and age of e-commerce, reputed probate solicitors and law firms offering different kinds of probate services London have websites for the convenience of their clients. The website showcases the services they offer, their skills and experience in the business. The Internet is thus a good place to start in order to find a firm that feels right for you.

Some probate services firms offer a free initial consultancy to prospective clients. Once you get a basic idea about how the probate specialist can help you, you may realise how invaluable such a service can be. The solicitors will acquaint you with everything related to probate from current laws to formal proceedings and help demystify all the legal jargon. The years of experience and extensive knowledge of probate specialists is the reassurance you need when engaging their services.

A probate specialist in the UK could also help you with determining any inheritance tax due under the Inheritance Tax Act 1984.  The tax has to be paid to the Inland Revenue within six months from the date of death. If there is a will, he could help you prove its validity before the Probate Registry and attain the Grant of Probate from the same. In case, the deceased dies without a will, the probate specialist could assist you in applying for letters of administration under the Administration of Estates Act 1925 and prove that you are a personal representative of the deceased.  A probate specialist would have thorough knowledge of intestacy laws and can ensure that you get your fair share of the estate.

To know more about a probate specialist, contact us today. It would not be an overstatement to say that probate help is now just a click away.

The fact that the deceased has a will does not mean that probate is not required. Undoubtedly, the existence of the will makes the entire process simple and hassle free. However, probate is still very much necessary to oversee the transfer of assets; probate services London prove themselves to be invaluable in this context as well.

The probate services in London would include

•    Identifying and listing the property (and assets) of the deceased
•    Accounting and appraising of the property (and assets)
•    Paying of taxes due to the govt
•    Disbursing the assets to the heirs as per the terms of the will

A probate specialist would understand all the legal formalities that need to be adhered to in the instances when someone passes away. He would see to it that the property of the deceased is distributed as specified in the will. The probate process is overseen by an executor, in case there is a will. In case there is no will, the probate process is overseen by the court or someone whom the court represents. In such instances, the personal representatives of the deceased have to apply for letters of administration under the Administration of Estates Act, 1925. The providers of probate services in London would make this entire process less daunting for the people involved.

There could be some property that the deceased owned individually. For the ownership of such property to pass on to the heirs mentioned in the will, probate is required. The probate services would not be required in case of jointly owned property, which would then be transferred to the surviving owners.

There are quite a few law firms - specialising in wills and probate – and offering probate services in London. It is easy to get in touch with any such specialist probate services firms by searching the Internet. Many firms offer free consultation services and the legal representatives from these firms can visit you in your own home and office.

Contact us to learn more about probate services in London and how probate solicitors can help you.