Tories proposed IHT increase

Posted 12/04/2015

The Conservative party has proposed an increase in the IHT allowance, giving a further zero-rate band of £175,000 on your main property on top of the £325,000 IHT allowance (the nil rate band) already in place.　 This will be transferable between spouses on death, which could bring the total IHT allowance for a married couple up to £1m.　 The exact details of this proposal are not yet clear.

This definitely makes for a good headline, but it will actually benefit a relatively small number of estates.　 It may also make families even more reluctant to sell a house to pay for care.