Another bumper year for the Government’s IHT receipts
Wednesday, 30 May 2007
HM Revenue & Customs has recently issued details of inheritance tax receipts for the year ended 31 March 2007. The amount collected (£3.546 billion*) has increased by 8.8% over the previous year. *Source: HMRC.
Scottish Life International's Technical Manager, Gerry Brown commented:
"Although the starting point for inheritance tax has been raised to £300,000 for the current year, it continues to be a significant source of income for the Treasury.
"In addition to the tax actually collected in 2006-07, Government estimates indicate that an additional £2.2 billion qualified for spouse/civil partner exemption. This means that £5.5 billion of assets will fall into the estates of the surviving spouse/ civil partner. Unless some tax planning is undertaken, this will yield further income for the Treasury.
"Despite the changes to the inheritance tax treatment of trusts introduced in 2006, Scottish Life International still believes that the impact of the tax can be reduced by careful planning. The combination of a suitable trust with an offshore bond can offer a useful planning tool for many individuals and their professional advisers, enabling the taxable estate to be reduced whilst at the same time maintaining control over family wealth."
– ENDS –
for further information please contact:
pressoffice@sli.co.im / 0131 456 6031 or
Scottish Life International
Gerry Brown
Technical Manager
Tel: 0131 456 6024
Mobile: 07919 171 587
gerry.brown@sli.co.im
editors notes:
Scottish Life International was launched in 1996 and is now part of the Royal London Group. The company has grown rapidly in size and now has funds under management in excess of £742 million from investors in the UK and around the world (as at 31 March 2007). Scottish Life International is based in the Isle of Man, where it is supervised by the Isle of Man Government Insurance and Pensions Authority.
Scottish Life International is a member of the Association of International Life Offices (AILO) and sponsors IFA Promotion (IFAP), which supports the need for independent financial advice.
Holders of policies issued by Scottish Life International Insurance Company Limited, based in the Isle of Man, will not be protected by the UK Financial Services Compensation Scheme if the company becomes unable to meet its liabilities to them. Policyholders will however be protected by the Isle of Man Life Assurance (Compensation of Policyholders) Regulations 1991.
Royal London Group is a specialist financial service provider. Its businesses focus
on those sectors of the market which value premium propositions, operating through
a number of brands:
• Scottish Life - UK pensions market
• Bright Grey - UK protection market
• Scottish Life International - offshore investment markets
• RLAM - fund management
• RLAS - life and pensions administration
Royal London is one of the stronger life and pension companies in the UK, and has a particularly strong track record for with profits performance.
Royal London is the largest mutual life and pensions company in the UK with Group funds under management of £31.5 billion. Group businesses serve over three million customers and employ 2, 610 people (figures quoted all as at 31 March 2007).
Contact details
For further information, please contact:
pressoffice@sli.co.im / 0131 456 6031 or
Gerry Brown
Technical Manager
Scottish Life International
0131 456 6024
07919 171 587
gerry.brown@sli.co.im
Issued by Scottish Life International Investment Group Limited, a Royal London company which is authorised and regulated by the Financial Services Authority. Registered in Scotland number 166387. Registered office: 19 St Andrew Square, Edinburgh EH2 1YE.
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