End of tax year: Making the most of allowances
By Tom Carnegie, 29 Jan 18
Advisers should act now to make sure their clients make the best use of allowances as the countdown starts for the end of the UK tax year. Click through the slides to see the Prudential technical team’s list of actions advisers should consider.
Les Cameron, pensions and tax expert, and head of technical at Prudential, said inheritance tax (IHT) can be reduced by giving away assets.
He said clients with a potential IHT liability can gift £3,000 (€3,418, $4,249) every tax year free of IHT, if this is unused there is a one-year carry forward.
“Those who made no gifts in the previous tax year, and none so far in the current tax year will have £6,000 available,” he said.