Nash & Co Solicitors LLP’s Post

𝗕𝘂𝗱𝗴𝗲𝘁 𝗔𝗻𝗻𝗼𝘂𝗻𝗰𝗲𝗺𝗲𝗻𝘁: 𝗜𝗛𝗧 𝗧𝗮𝗸𝗲𝗮𝘄𝗮𝘆𝘀 🚨 Unless you’ve been living under a rock, you may have heard about the Budget announcement yesterday. One significant change involves new inheritance tax (IHT) rules set to take effect on 𝗔𝗽𝗿𝗶𝗹 𝟲, 𝟮𝟬𝟮𝟳. Here are some initial considerations: ⤵️ 𝙍𝙚𝙚𝙫𝙖𝙡𝙪𝙖𝙩𝙚 𝙋𝙚𝙣𝙨𝙞𝙤𝙣 𝙁𝙪𝙣𝙙𝙞𝙣𝙜: Clients should reconsider funding pensions solely for estate planning. 𝙏𝙖𝙭-𝙁𝙧𝙚𝙚 𝘾𝙖𝙨𝙝 𝙍𝙚𝙫𝙞𝙚𝙬: Those over 75 who have delayed taking tax-free cash might reassess this decision to minimise IHT and income tax exposure. 𝙐𝙣𝙙𝙧𝙖𝙬𝙣 𝙁𝙪𝙣𝙙𝙨 𝘼𝙨𝙨𝙚𝙨𝙨𝙢𝙚𝙣𝙩: Clients with undrawn pension funds for estate planning must rethink this strategy. 𝙂𝙞𝙛𝙩𝙞𝙣𝙜 𝙎𝙩𝙧𝙖𝙩𝙚𝙜𝙮: For clients not needing their pension funds, taking tax-free cash and making gifts may be a viable option. ——————————————— 𝘛𝘩𝘪𝘴 𝘱𝘰𝘴𝘵 𝘪𝘴 𝘧𝘰𝘳 𝘦𝘥𝘶𝘤𝘢𝘵𝘪𝘰𝘯𝘢𝘭 𝘱𝘶𝘳𝘱𝘰𝘴𝘦𝘴 𝘰𝘯𝘭𝘺 𝘢𝘯𝘥 𝘥𝘰𝘦𝘴 𝘯𝘰𝘵 𝘤𝘰𝘯𝘴𝘵𝘪𝘵𝘶𝘵𝘦 𝘧𝘪𝘯𝘢𝘯𝘤𝘪𝘢𝘭 𝘢𝘥𝘷𝘪𝘤𝘦.

❗ Beware of the Inheritance Tax changes! ❗ The main budget headlines may be about Employer NI and Capital Gains Tax, but Inheritance Tax will be impacting millions more people than it did yesterday…. 👉  Pensions – inherited pensions will be caught in the Inheritance Tax regime from April 2027, but the 25% tax-free allowance remains. 👉  Business/Agricultural Property Relief is to be capped at £1m, with only 50% relief above this value. 👉  AIM shares have been directly targeted, now only attracting 50% Business Property Relief. 👉  Inheritance Tax Nil Rate Bands and Residence Nil Rate Bands frozen for a further 2 years to 2030. The extent of these changes cannot be underestimated with millions of people potentially dragged into paying IHT. If you are not familiar with IHT, you soon will be as when you’ve paid tax all your life, 40% on your estate hurts…. When in doubt, get advice. #financialplanning #budget

National Treasury says tax on two-pot withdrawals favours low-income earners. The way in which savings benefit withdrawals are taxed is designed to benefit low-income earners, says National Treasury. The tax revenue the government will receive from savings component withdrawals under the two-pot retirement system came up for discussion during a meeting of the National Assembly’s Standing Committee on Finance on Tuesday. Learn more: https://buff.ly/4gvTah1 #2024RevenueLawsAmendmentBill #contributions #COSATU #employercompliance #FSCA #NationalAssembly #NationalTreasury #retirementfunds #SARS #savingscomponent #SouthAfricanRevenueService #StandingCommitteeonFinance #taxation #twopotretirementsystem

Curious about how the latest UK Budget may affect your financial planning?  In response to the Chancellor’s first Budget, our Wealth Planning team has analysed the new tax changes across five key areas: Pensions, Inheritance Tax, Income Tax, Capital Gains Tax, and UK Resident & Non-Domiciled. Watch our expert series for insights on navigating these updates, and remember that for tailored guidance, consult with your tax or legal adviser before making any decisions. Watch the full video series on our YouTube channel for more information:  https://bit.ly/3O84T8U Nothing in these videos constitutes legal or tax advice. Legislation and taxation often change and may not apply to your individual circumstances. Nedbank Private Wealth does not give tax or legal advice, and clients should consult their independent advisers for specific advice, before making any investment or financial decision.

With the UK Budget on 30th October, big tax changes on investments are expected. 📊 Here’s what might be coming and how it could affect you: 🔗 Capital Gains Tax: There’s talk of raising CGT to align with income tax rates (potentially 20%-40%), which could significantly increase the tax on investment gains. 💷 Dividend Tax: The current annual dividend allowance (£500) might be cut even further, meaning more tax on your investment income. 🏦 Pension Tax Relief: There could be a shift to a flat-rate tax relief or reduced tax-free lump sums on pensions, affecting your retirement planning. What should you do? Now’s the time to review your investments and plan ahead. Speak to a financial adviser to protect your wealth from these potential changes. 📞 Contact TallRock today for advice and safeguard your financial future! #UKBudget #InvestmentTax #FinancialPlanning #WealthManagement #TallRockCapital

Of course, still digesting; however... A few budget changes are front of mind for me: - From 2026: Agricultural Property Relief and Business Property Relief will be protected up to £1 million GBP; after this, relief is applied at 50%, resulting in an effective 20% IHT. Long-term planning conversations for impacted clients are likely quite relevant now. - From 2027: Pensions passed on death will be subject to inheritance tax (IHT). Impacted clients with significant holdings may now wish to begin drawing down. Planning arrangements that minimize sequencing risk while also potentially taking advantage of government-supported investment schemes like SEIS/EIS, which carry income tax relief advantages, could be beneficial—especially given the announcement of ongoing government investment in these areas. - A more zoomed-out capital flow perspective: Overheads may increase disproportionately for labour-intensive businesses due to a substantial reduction in Employer NIC thresholds, which is controversial. At the same time, there is ongoing support for emerging sustainable and decentralized service-based businesses. On the surface this is in line with the UK Governments attempt to nudge UK economic participants and aggregate capital toward industries focusing on the spread taking of international capital flows within the post-Brexit regulatory framework. Work to do. #AgriculturalPropertyRelief #Pensions #IHT

Who pays the most Inheritance Tax? With Rachel Reeves expected to announce a £20bn to £50bn shortfall in public finances, capital taxes will be under scrutiny. As per my previous post, the IFS have recommended expanding the scope of IHT and removing 'benefits at the margin'. They have recently suggested bringing Defined Contribution pensions into the regime (either directly, or through an income tax levy on all pension death benefits - IFS Report R235). Who currently feels the biggest squeeze? It those with estates between £3m and £5m who pay the highest effective rate of IHT. In my experience, those in the above category often achieve the greatest rewards from sophisticated financial advice - not just to mitigate IHT, but to meet a wide range of different needs and to ensure that they are decumulating their capital in the safest and most tax efficient way. #advice #invaluableadvice #SJP #financialplanning #IHT #investment #investing #SJPPrivateClients #tax #taxplanning

Five things you need to know about Inheritance Tax. Leaving an inheritance for your loved ones can be life-changing. Starting your plan now means everything will be in place for when you're gone. Our top five things you need to know about Inheritance Tax: 1. Preparing for Inheritance Tax can change your family’s future 2. When do you start paying IHT? 3. Gifting can mitigate IHT, and help support your family now, rather than making them wait for an inheritance. 4. Using pensions to help IHT planning 5. Making the most of Trusts in IHT planning 📍Read the full article and learn about inheritance tax here: https://lnkd.in/eQKW8Q_G #FinancialEducation #BuildALegacy #MondayMotivation

𝐃𝐨 𝐲𝐨𝐮 𝐧𝐞𝐞𝐝 𝐚 𝐏𝐨𝐬𝐭 𝐁𝐮𝐝𝐠𝐞𝐭 𝐟𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐡𝐞𝐚𝐥𝐭𝐡 𝐜𝐡𝐞𝐜𝐤? After the much anticipated Budget last week , we all now have a new raft of financial changes to consider and navigate. Taxation, Pensions, Inheritance Tax, Business Relief, National Insurance – not many stones were left unturned by the Chancellor in her quest to raise £40bn. 𝐒𝐨 𝐰𝐡𝐚𝐭 𝐧𝐨𝐰 𝐟𝐨𝐫 𝐲𝐨𝐮 𝐚𝐧𝐝 𝐲𝐨𝐮𝐫 𝐟𝐢𝐧𝐚𝐧𝐜𝐢𝐚𝐥 𝐩𝐥𝐚𝐧𝐧𝐢𝐧𝐠? 𝐓𝐡𝐞 𝐧𝐞𝐭 𝐰𝐢𝐝𝐞𝐧𝐬 𝐨𝐧 𝐈𝐇𝐓 Most certainly you will need to revisit your Inheritance Tax Planning (IHT) and with a backdrop of ever-increasing Treasury IHT receipts, with the new measures announced, this particular tax will cast an even wider net and sweep more of you into a tax liability. 𝐓𝐨 𝐭𝐚𝐤𝐞 𝐨𝐫 𝐧𝐨𝐭 𝐭𝐨 𝐭𝐚𝐤𝐞 𝐲𝐨𝐮𝐫 𝐭𝐚𝐱 𝐟𝐫𝐞𝐞 𝐥𝐮𝐦𝐩 𝐬𝐮𝐦? With new pension changes announced for 2027, looking at how you manage your pensions needs even more expert consideration as part of your wider tax planning. 𝐒𝐭𝐞𝐩 1 – download our free post budget Guide to see the extent of the changes announced: https://lnkd.in/eNrkhffq 𝐒𝐭𝐞𝐩 2 – book a chat with one of our expert financial advisers to see how they can help and support your financial planning through the new legislation: https://lnkd.in/g-7egTu #Autumnbudget2024 #Financialplanning

We’re committed to keeping you informed about the latest financial changes. That’s why we’ve updated our Inheritance Tax Frozen Allowances video to reflect the key updates from the Autumn 2024 Budget. Here’s what you need to know: 📌 Thresholds frozen: ‣ The nil-rate band remains at £325,000. ‣ The residence nil-rate band stays at £175,000, with the taper starting at £2 million. 📌 Who’s impacted? ‣ Estates exceeding the nil-rate or residence nil-rate band. ‣ Trustees of relevant property trusts facing periodic or exit charges. ‣ Individuals making lifetime chargeable transfers. These changes, now extended to 2029/30, aim to support public finances—but they also mean careful planning is more important than ever to reduce potential IHT liabilities. 🎥 Watch our updated video to learn how these changes could affect you or your clients, and discover strategies to make the most of the allowances. Watch it here: https://lnkd.in/eQT6seeT Get in touch: 📞: 01892 300 303 ✉: info@prosperityifa.com 💻: www.prosperityifa.com #prosperity #prosperityIFA #finance #financialadvice #uk #financetips #wealth #wealthmanager #wealthmanagement #equityrelease #pensions #pensionplanning #employeebenefits