Trusts
The Government has now altered the way that the Nil Rate Band between Husband and wife and Civil Partners operate, you are now allowed to aggregate both Nil Rate Bands on second death. Current Widows and Widowers are also allowed to utilise this new structure.
This should not however preclude the use of Discretionary Trust arrangements as they remain useful in protecting assets for future generations and the mitigation of Long Term Care costs
The process includes the following:
- 2 expressions of wishes
- 2 Wills
- Severance of tenancy of the property to "Tenants in Common" if required
- Discretionary Trust with IOU loan notes and equitable charge powers
Including provisions for a Discretionary IHT Trust in both Wills means that upon first death an amount is left to a Discretionary Trust wherein the Trustees may decide who from the beneficiaries may receive any income or capital from the trust. In this way subject to the agreement of the Trustees, the surviving spouse may have access to assets in the Trust.
Where the estate consists of property, it is important that such property is held as "Tenants in Common" rather than Joint Tenants this is to ensure that the share of the property can be dealt with in accordance with the instructions in the Will rather than to pass directly to surviving Joint Tenant.
Don't delay, protect your assets.
Call NOW on: 07967 595454 or contact us today to arrange a Call Back.
Speak to Mat Lee (Head of Wills & Estates)
North Mortgages
