3rd March 2025
Inheritance Tax Planning: Don’t Miss the Year-End Opportunity to Protect Your Wealth
As the year-end tax review approaches, now is the time to ensure your inheritance tax (IHT) planning is up to date. Without proper preparation, IHT—charged at 40% on estates above £325,000—can significantly reduce what your loved ones inherit.
Key Year-End Considerations for Inheritance Tax Planning
- Use Your Gifting Allowances: Take advantage of the £3,000 annual gifting allowance before the tax year ends. Gifts made more than seven years before your death are IHT-free.
- Maximise Nil Rate Bands: The nil rate band (NRB) is £325,000 for 2024/25, with an additional £175,000 residence nil rate band for property passed to direct descendants. Couples can transfer unused NRB, doubling their exemption.
- Secure Wealth Through Trusts: Setting up trusts before the tax year closes can reduce your taxable estate while maintaining control over your assets.
- Consider Life Insurance: A life insurance policy can help cover IHT liabilities, preventing your heirs from having to sell assets to pay taxes.
Why Planning Before Year-End Matters
Acting before the end of the tax year allows you to utilise annual exemptions, reducing your estate’s value and ensuring your loved ones inherit more. With inheritance tax thresholds frozen until 2028, early planning is essential to mitigate rising tax liabilities.
How Vyman Solicitors Can Help
Our Private Client team is here to help you maximise IHT reliefs before the tax year ends. From setting up tax-efficient Wills to advising on trusts and lifetime gifting, we’ll ensure your estate is structured to benefit your loved ones.
Book a consultation today to review your inheritance tax plan before the year-end deadline or please call our Private Client team, who will be happy to assist you 020 8427 9080.
Don’t wait—secure your family’s future now.
–
About Vyman Solicitors
Located in North West London, Vyman Solicitors provides a comprehensive range of legal services, including Corporate & Commercial Property Law, Litigation, Residential and Conveyancing Law, Family Law, Private Client and Immigration. Known for its commitment to personalised client support and legal excellence, Vyman is a trusted partner for businesses and individuals alike.
Follow Vyman Solicitors on LinkedIn, Instagram and Facebook.