Summary: Legacies to charities are currently exempt from inheritance Tax (IHT). From the new tax year onwards they may carry the additional benefit of reducing the IHT rate payable on a deceased’s estate from 40% to 36%. Richard Monkcom, Head of Druces’ Private Client team, reviews the new rules
Relevant to: Individuals considering ways in which their tax bill may be reduced on death and those interested in leaving money to charity.
Private Client and Tax Briefing Note, Inheritance Tax and Charitable Legacies