Seeking advice 'can minimise IHT bill'

The correct assistance and planning can be instrumental in avoiding the worst of inheritance tax (IHT), one financial advice service has stated.

According to unbiased.co.uk, many people are failing to seek out financial advice on IHT and are thereby allowing HM Revenue and Customs to levy a higher tax charge than is necessary.

David Elms, chief executive of the firm, told the Manchester Evening News: "The IHT liability is paid by beneficiaries, often at a time when they are grieving over a lost friend or family member.

"Without advance tax planning, increasing amounts of IHT will fall into the hands of the taxman."

One of the essential services that an advisor can perform is ensuring that a will is written correctly in order to prevent unnecessary levels of taxation.

In April this year, Scottish Widows released research suggesting that four in ten homeowners (37 per cent) still have an estate liable for IHT after their death, despite the threshold being increased from £285,000 to £300,000.