Question 1

How do you work with accountancy firms without diluting our client relationship?

Accepted Answer

You remain the client’s lead adviser. We act as your specialist back-office—white-label or co-branded—providing analysis, documents, and implementation under your instruction, with full PI cover and agreed scopes.

Question 2

What do you need from us to start an estate planning review?

Accepted Answer

Family tree, wills status, asset/valuation schedule (incl. business/property), ownership charts, pensions/life cover, gifting history (7+ years), domicile/residence, and objectives.

Question 3

Which IHT allowances and reliefs do you prioritise?

Accepted Answer

Nil-rate band, residence nil-rate band, spouse/civil partner and charitable exemptions, plus Business Property Relief (BPR) and Agricultural Property Relief (APR).

Question 4

How do the 7-year rule and taper relief work?

Accepted Answer

Most lifetime gifts are PETs: survive 7 years and they fall outside the estate. Taper may reduce tax on gifts made 3–7 years before death but not the NRB used.

Question 5

When is life insurance appropriate for IHT?

Accepted Answer

Where estates are illiquid or reliefs uncertain. Whole-of-life written in trust can fund the liability without increasing the taxable estate.

Question 6

How do you assess BPR for business owners?

Accepted Answer

We test trading vs investment activity, review surplus cash, group structure and share rights, and (if needed) restructure to support qualifying trading status.

Question 7

Does excess company cash threaten BPR—and what can we do?

Accepted Answer

Yes, potentially. We evidence trading purpose, adjust treasury policies, or segregate non-trading assets to protect relief.

Question 8

Trusts vs Family Investment Companies (FICs)—which is better?

Accepted Answer

Depends on aims. Trusts maximise protection and flexibility; FICs aid control and growth-shifting with corporation tax on profits. Many cases blend both.

Question 9

Do clients need both LPAs (Property & Financial; Health & Welfare)?

Accepted Answer

Yes. LPAs avoid deputyship delays and ensure continuity for business and personal decision-making if capacity is lost.

Question 10

How do cross-options and insurance fund shareholder buy-outs?

Accepted Answer

Policies (in trust) pay out on death; cross-options give survivors the right to buy and the estate the right to sell—delivering liquidity and cleaner tax outcomes.

Question 11

Can investment property be sheltered from IHT?

Accepted Answer

Usually not via BPR. Alternatives: trusts, FICs, debt strategy, staged gifting, and/or trust-owned life cover—balanced against CGT/SDLT.

Question 12

How do pensions fit into estate planning?

Accepted Answer

Many defined contribution pensions sit outside the estate for IHT and allow beneficiary drawdown—nominations and withdrawal sequencing are key.

FAQs

Partner with specialists in wills, trusts, and IHT to protect your clients and elevate your advisory.