Legal News | 20.01.22
‘Nobody warned me it was against the rules’
‘Nobody warned me it was against the rules’
… a comment which has dominated headlines this week and given us pause to reflect on the rules which must be adhered to, warnings or not, in the Private Client world…
Making a Will?
• It must be in writing.
• You need two witnesses.
• Do not ask your beneficiaries to act as witnesses. If a beneficiary does witness your Will, they will forfeit their right to a share in your estate.
Dealing with an estate?
• You must follow the terms of the Will (or laws of intestacy if there is no Will) when distributing the estate.
• Inheritance tax must be paid, or partially paid, by the last day of the sixth month following death. Where not paid in full, interest will begin to accrue thereafter.
Preparing Lasting Powers of Attorney?
• Use black ink to complete and sign the form. If not, the Office of the Public Guardian may reject the application.
• There are strict rules on the order of signing and for witnessing. If you are the donor, you cannot act as a witness for your attorneys. Similarly an attorney cannot act as a witness for you.
General Anti-Avoidance Rules
• While reasonable tax planning is entirely permissible and to be advised, there are rules (GAAR) which are intended to target tax arrangements that are considered to be ‘abusive’ and not within the spirit of the original tax legislation.
• GAAR can apply to tax planning schemes involving, amongst others, income tax, capital gains tax, corporation tax, inheritance tax and stamp duty land tax.
If you would like to make a Will, need help administering an estate or would like to prepare Lasting Powers of Attorney, do get in touch with your usual contact or email wealth@wansbroughs.com or call 01380 733300, we are here and ready to help you navigate the rules…