Key points reminder

The subject of inheritance tax and pensions generated headlines recently as a result of a tribunal ruling earlier this year. The judge at the tribunal found that an uncrystallised lump sum death benefit paid from a pension scheme should have been subject to inheritance tax. This was because the member had taken actions before her death that had the effect of reducing the value of her taxable estate. Case facts The facts of the case were as follows: The member joined the scheme in 1995. In joining the scheme she created a discretionary trust to which all death benefits became payable un...