6 key points about pensions tax relief
By International Adviser, 2 Oct 18
How the UK Government is encouraging people to save for their retirement
Exemption from inheritance tax
Inheritance tax (IHT) is a tax on the estate (the property, money and possessions) of someone who’s died – if the value of the estate goes over a certain threshold.
Funds held within your pension are considered to be outside your estate and so not liable to IHT.
However, remember that you will pay the lifetime allowance charge if your pension pot exceeds £1.03m or if death occurs before the age of 75.
