Many people that are named as executors of deceased people’s wills in Heybridge and other places throughout Essex are shocked when they discover that they could be deemed responsible for any inheritance tax that falls due on that person’s estate BEFORE they even receive any money to use for this purpose from probate.
By way of illustration, in the event that a deceased person was single with an estate in somewhere like Heybridge that is worth more than the nil-rate band £325,000 then they may have to pay tax on the value of anything above this amount at a rate of 40% in the event that there are no applicable tax reliefs are applicable whilst the same is true in the case of married couple where the nil-rate band is double to £650,000. Then, in either case, it is possible that thousands of pounds could be needed to pay the inheritance tax required prior to receiving even a single penny from the proceeds of estates under wills in Heybridge and other places in the UK.
However, where there are sufficient cash savings within the deceased’s estate to be able to pay to cover the inheritance tax payment required, Her Majesty’s Revenue and Customs may choose to permit a direct payment to them from out of the savings of the deceased in Heybridge. However, in the event that there is insufficient cash available in the deceased’s savings, there could still be a need for the executors to make up any shortfall themselves before recouping the money paid from the deceased’s estate once probate has been granted. Therefore, it is often necessary to borrow the money either from within the family or from a financial institution like a bank that is typically amenable to this scenario due to their familiarity with it under wills in Heybridge.
Nevertheless, in the event that the bulk of the estate of a deceased party in Heybridge consists of property, Her Majesty’s Revenue and Customs will usually permit a grant of probate and any inheritance tax to be paid spread out for a period up to and including ten years in installments subject with interest accrued on any outstanding balance. Similarly, Her Majesty’s Revenue and Customs may provide a degree of flexibility where the value in someone’s estate in Heybridge principally rests in shares since they could be willing to wait for any shares to be sold before any inheritance tax payments are made so long as it is a priority when the estate’s proceeds are allocated.
Contact Andrew Douglas Wills and Legal Services today via www.andrewdouglaswills.co.uk to see how we could help you to get your affairs in order to protect both yours and your loved ones best interests under wills in Heybridge in Essex.
Follow us on Twitter at https://twitter.com/ADouglasWills
Follow us on Facebook at https://www.facebook.com/AndrewDouglasWills
