Industry welcomes under 75 IHT reversal

In the original proposals, published last July, people under the age of 75 who died in income drawdown or phased retirement would be subject to IHT unless the executors of the estate could prove the member had not been engaged in “estate planning” to leave their fund to beneficiaries. However in yesterday’s Budget, the Government have reversed the proposals to leave IHT to apply to those under 75 in the same way as it does now, and with those over 75 and going into an Alternatively Secured Pension (ASP) liable to a 40% IHT charge is they pass the funds on to non dependants. The change h...