Trusts can be an extremely useful planning tool for inheritance tax purposes, as well as for family and business succession planning. Partner Christiaan Hansen looks at how trusts and inheritance tax interact as well as outlining the issues and benefits. Tax is one benefit, but preservation of the family assets is another potential advantage of...

Partner Andrew Wayness provides the answers in this month’s Q&A. Is a charity’s loss-making event exempt from VAT? Q. We are a charity that is registered for VAT. We recently held a fundraising event, treating the income as being exempt from VAT, but the event made a loss. Should we treat the income as standard-rated...

You hold the main interest in a family-owned trading partnership and are planning to retire, selling your interest to your adult children. But you have been advised that this could lead to an inheritance tax (IHT) charge?  Partner Kenny Adamson advises. Unincorporated traders Business property relief (BPR) is an extremely valuable tax planning tool. BPR...

Mrs Smith’s mother has recently died. During her final years she lived in a care home and sold her property to pay the fees. Mrs Smith believes she has lost the right to claim the residence nil rate band as a result. What is advised? Head of Tax, Christiaan Hansen advises. Residence nil rate band...

Your father recently died having spent the last two years in care. Last year you sold his home to help pay the nursing home fees. When preparing the inheritance tax forms, are you entitled to claim the residence nil rate band?  Tax Partner Brona MacDougall discusses. The inheritance tax (IHT) residence nil rate band (RNRB)...

Your father left the whole of his estate, mainly consisting of his share in their home, to your mother in his will. As a result, there will be a big inheritance tax bill waiting when she dies. What steps can you take to reduce it? Nil rate bands While the inheritance tax (IHT) nil rate...

Mrs A is the executor of her mother’s estate. Some valuable items were left to her and her sister. She wants to sell several of these to pay debts of the estate. Will there be any tax and if so, who is responsible for it? Family tax expert Brona MacDougall provides the answers. Administering an...

Giving away your wealth to members of your family reduces your estate for inheritance tax purposes, but only after seven years. However, it is possible to achieve the same result without the wait. What steps do you need to take? Inheritance tax expert Brona MacDougall has some valuable advice for you. Any tax expert will...

Q. My parents stay in and pay the mortgage on my house, is this classed as rental income? I have owned a house for 12 years which I don’t currently live in. My parents live in the house and they pay me just enough money each month to cover the mortgage payments. Should I pay...

As a global association for practitioners who specialise in family inheritance and succession planning, JRW Tax Manager Brona MacDougall is now a Trust and Estate Practitioner or ‘TEP’ in the Borders, the designation given to full members of STEP. STEP members help families plan for their futures and as specialists in inheritance and succession planning,...