Providing for children

Produced by Tolley in association with Emma Haley at Boodle Hatfield LLP
Trusts and Inheritance Tax
Guidance

Providing for children

Produced by Tolley in association with Emma Haley at Boodle Hatfield LLP
Trusts and Inheritance Tax
Guidance
imgtext

The main consideration for a client who wants to provide for children in his Will is to decide the age at which they should inherit, and whether they are to inherit outright or whether their inheritance should be held in trust. This will boil down to personal preference, although clients will need some steering through the different tax consequences of the various options. Reference should be made to the practice notes elsewhere in this guidance note for a detailed discussion of the tax aspects relevant to each of the options mentioned below.

Outright gifts

These are usually more suitable for adult children. Inheritance tax may be payable on the client’s death and then the property becomes held in the children’s own estates for inheritance tax purposes. The possibilities of a future divorce, bankruptcy or a child’s profligacy are common reasons for avoiding an outright gift ― see ‘Trust options’ below.

Trust options

For younger children, clients invariably want some sort of trust.

Two types of trust which receive special

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, and tax research, register for a free trial of Tolley+™
Emma Haley
Emma Haley linkedinicon twittericon worldicon

Associate at Boodle Hatfield LLP 


Emma Haley is a senior associate solicitor at leading private client firm, Boodle Hatfield LLP, renowned for providing first-class and practical legal advice to wealthy clients around the world.Emma has many years experience in dealing with all aspects of wills, probate, capital taxation and succession planning as well as UK and offshore trusts. Emma currently heads up a technical know-how team and is a regular writer and lecturer on estate planning and inheritance tax and also a member of the Society of Trust and Estate Practitioners.

Powered by Tolley+
  • 14 Sep 2022 10:21

Popular Articles

Incentives, awards and prizes

Incentives, awards and prizesIntroduction ― incentives, awards and prizesEmployers may use a variety of methods to reward and encourage employees in their work. These are commonly known as incentives, awards or prizes. For the purposes of this note, the term ‘award’ will be used to cover all

14 Jul 2020 11:57 | Produced by Tolley Read more Read more

Real estate investment trusts (REITs)

Real estate investment trusts (REITs)Introduction to REITsA real estate investment trust (REIT) is in fact not a trust at all, it is a company which qualifies for special tax treatment under CTA 2010, Part 12. REITs are similar in many ways to collective fund vehicles (such as unit trusts) in that

14 Jul 2020 13:04 | Produced by Tolley in association with Rob Durrant-Walker of Crane Dale Tax, part of AMS Group Read more Read more

Holding companies ― VAT status of activities

Holding companies ― VAT status of activitiesThis guidance note examines how to determine the VAT status of a holding company’s activities. In particular, it looks at:•when a holding company is or is not in business•if a holding company is in business, whether its activities are exempt or taxableThe

14 Jul 2020 17:13 | Produced by Tolley Read more Read more