One of the big talking points of the last budget was inheritance tax – and rumours abound of further tweaks at next month’s set piece by the chancellor.
So what are the current rules?
First up, for those who don’t know, inheritance tax is a tax on someone’s “estate” when they die – ie, a tax on any money, possessions or property left behind.
It’s often called “the most hated tax” in the UK – but only around 4% of estates are actually affected by it, meaning most of us will never end up paying it at all.
When do you have to pay inheritance tax?
Inheritance tax is due when you leave an estate valued above a certain threshold to your loved ones when you die.
There is no tax if your estate’s value is below…