Reduce Inheritance Tax - Key Strategies
- Culverhouse & Co
- Apr 29
- 1 min read
If you’re looking to reduce inheritance tax, the key is acting early and structuring your finances properly.
Reduce Inheritance Tax: the Main Strategies
Use lifetime gifting
Gifts made 7+ years before death are usually tax-free
£3,000 annual gifting allowance
Regular gifts from surplus income can also be exempt
Consider trusts
Pass on assets while retaining some control
Help protect family wealth and reduce estate value (if structured correctly)
Plan around property
Make full use of the Residence Nil Rate Band
Structure ownership efficiently between spouses
Review additional properties to limit tax exposure
Review your pension strategy
From April 2027, unused pensions may be included in your estate
Existing plans may need updating
Use life insurance
A policy in trust can cover the IHT bill
Helps avoid selling key assets like the family home
Start early and review regularly
Many strategies depend on time (e.g. 7-year rule)
Ongoing reviews keep your plan effective as rules and values change
Why Speak to an Adviser?
Getting the right strategy for your situation is paramount.
How much can you gift without affecting your lifestyle?
Will a trust actually reduce your tax bill?
How do all your assets interact over time?
We help you answer these questions by:
Modelling “what if” scenarios tailored to you
Factoring in tax changes, inflation, and future needs
Giving you a clear, structured plan - not guesswork
With regular reviews and access to your full financial picture through our secure Personal Finance Portal, you stay in control at all times.
If you want to reduce inheritance tax with confidence, not assumptions, speak to us today. We're happy to help.
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