Will making 'remains important'

Will-making remains a crucial part of inheritance tax planning, it has been claimed.

According to myfinances.co.uk, forming a will is the cheapest and most effective form of inheritance tax planning for dentists.

The website states that under current intestacy rules, a deceased person's estate does not pass to their spouse in entirety, meaning it is important to clearly outline who should receive assets.

This is said to be especially the case where unmarried couples are concerned.

With the inheritance tax threshold standing at £312,000, estate assets above this value are taxed at a rate of 40 per cent.

Since October 2007 unused sums under this nil rate band can be transferred from the death of the original estate holder to the death of their spouse, effectively reducing tax liabilities further.

However, the need to verify whether any transactions made during either partner's lifetime negate this benefit can prove costly if the correct documentation cannot be located.

According to myfinances.co.uk, investing in a will can avoid such difficulties.

Meanwhile, law firm Mace & Jones claimed today that those who fail to make a will risk causing "substantial problems" for family, reports bytestart.co.uk.



Wesleyan Medical Sickness provides specialist financial advice for dental professionals