Sometimes things come to you in dreams
I awoke this morning and suddenly it came to me in a flash. It probably won’t work of course – partly because these things never do, and partly because I’m in the happy position of knowing virtually zilch about my subject this morning (Inheritance Tax issues) – but nonetheless I thought it worth running with and sharing. Just in case I’m on to something.
Some of us carry on our daily business without ever contemplating such issues, which may be deemed either unnatural or unwise, but most people confront reality and/or mortality from time to time. Not least when making a will.
All the while thinking to myself “This is a complete waste of time, why am I doing this? …” but at the same time, in a weird way, rather enjoying it as well.
It came to nothing, of course. Well, apart from the fact that for about three years afterwards I kept receiving what we today call ‘junk mail’ through the post – I’m making some of this up now because I cannot remember the exact details – either telling me about the end of the world and/or my one chance to save myself and my loved ones, i.e. by selling up everything I owned and ‘sending the proceeds to this address …’ (which, obviously, I had no intention of doing).
When I made my first will I felt great afterwards and have been a great advocate of telling everyone I know who hasn’t yet made a will that is it a (relatively) simple process that feels really strange [“Yes, but supposing your wife and kids all died, simultaneously, in the same plane crash as you – who would you like everything of yours to go to then?“] whilst you’re doing it … but which then leaves you with a wonderful sense of relief and comfort that (1) you’ve done the right thing; (2) you’ve actually worked out just how you want things to be dealt with after your death – if such a thing ever occurs, which is of course unlikely … that is, unless you get divorced, fall out totally with your kids, and/or you meet a beautiful, slim, blonde Scientologist girl aged about 24 who understands you better than anyone you’ve ever known and then decide to give her all your money as well as commit to flying to the United Stated twice a year go be lectured at by Tom Cruise; and, of course (3) now you’ve done it (made a will) you can forget all about it.
Recently I have been getting in a muddle about inheritance tax [I’ll refer to it as ‘IHT’ from now on] generally.
I know there’s a tax-free slice of about £325,000 and after that you pay IHT on your estate at the due rate.
But then there are these allowances that the Tories brought not too long ago whereby you get a £100,000 allowance (is it?) on your house which – if you’re lucky enough to have a partner, you can ‘double-up’ by passing it seamlessly on to them … and I think then bingo! that’s about the nub of it.
(At this point I shall leave any Rust readers not yet in the grip of full-on dementia to chip in with their comments or advice, if they have any – please send to the usual address).
Anyway.
In the interests partly of ensuring that my nearest and dearest are provided for after I’m gone out of my limited assets to the best of my ability, but equally sticking two fingers up at the swine who work for HMRC, I think I’ve hit upon a rather spicy wheeze.
My son and I are both single at the moment.
I’m going to write to him today proposing that we get married – as far as I can tell, same-sex marriage is now actively encouraged in the UK if not compulsory – and then I’ll be able to leave my ‘house tax-free’ allowance (whatever the details are) to him automatically – which means that it will ‘double-up’ – and then he can simultaneously enter into a legally-binding agreement with my daughter whereby, when I peg it and they’ve got the Probate on my will cleared, they can share equally in the upside thus achieved.
What’s not to like?
