Inheritance tax schemes under threat
Certain inheritance tax avoidance schemes could come under threat from the chancellor in his impending pre-Budget Report, despite assurances from the Revenue that they 'might not' be affected.
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Gift and loan trusts and discretionary will trusts are expected to face a clampdown from Gordon Brown.
However, Smith & Williamson national tax director Francesca Lagerberg has warned that assumptions can’t be made as to the future of such schemes.
‘There has been confusion over these schemes, and you should not assume that a recommended trust is safe. Always ensure that the company has received confirmation from the Revenue that its scheme is within the guidelines,’ Lagerberg told The Sunday Times.
The Revenue had announced back in September that gift and loan trusts might not be affected by new tax avoidance schemes.