Inheritance tax planning should be started at an early stage, as otherwise one will likely land an unexpected inheritance tax bill! As much as 40% can be paid on a death estate, but much of this can be avoided if appropriately planned. For example HMRC have a generous rule on Potentially Exempt Transfers (PETs), whereby a gift made more than 7 years preceding the death of a donor remains tax free for inheritance tax purposes.
Careful planning can also help utilise many of the generous reliefs available to tax payers, for example Business property Relief (BPR) and Agricultural Property Relief (APR), both of which if planned correctly can eliminate your inheritance tax liability in some cases, and as much as 50% in other cases.
We understand that although you would seek to reduce any future inheritance tax liability, you would want to still enjoy a comfortable and enjoyable standard of living in retirement, and we will work with you to establish a balance acceptable to you.