Ailsa Moorhouse
Ailsa joined Penningtons from Dawsons LLP in 2011, having qualified as a solicitor in 2009. She works on a variety of private client matters including wills, trusts, probates and the administration of estates.
Practice Area
Panel
- Contributing Author
1 Contributions by Ailsa Moorhouse
PRACTICE NOTES
UK IHT estate valuation: identifying assets and liabilities, open market valuation across asset classes, joint/related property and key reliefs, with forthcoming reforms to pensions and APR/BPR
FORTHCOMING CHANGE relating to IHT on pension death benefits :
In the Autumn Budget 2024 on 30 October 2024, the government confirmed that, from 6 April 2027, unused pension pots and pension death benefits will be treated as part of a person’s estate for inheritance tax (IHT) purposes. New section 150A of the Inheritance Tax Act 1984 will be introduced by section 66 of the Finance Act 2026, taking effect on 6 April 2027 (IHTA 1984, s 71). The measure will cover both defined contribution and defined benefit arrangements, and will extend to UK registered schemes as well as qualifying non-UK pension schemes. For further details, see News Analyses: Autumn Budget 2024—Private Client analysis — Inheritance tax and HMRC confirms new IHT rules on unused pension funds to apply from 6 April 2027.
The need to value the estate
On death, an individual is deemed to make a ‘transfer of value’ equal to the worth of their estate immediately before death. This transfer is subject to IHT. Consequently, the estate may face an IHT charge depending on its overall value and the application of any available exemptions and/or reliefs...
Private Client
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