Graham Southorn shares inheritance tax tips
Inheritance tax (IHT) is a 40 percent charge on an individual’s estate that exceeds the £325,000 tax-free threshold. Many Britons have found themselves affected by IHT as a result of high inflation increasing the total value of property and assets. HMRC generated £7.1billion from IHT receipts in the year to March 2023, a £1billion increase on the previous year.
Now, a new poll of Express.co.uk readers has found that a staggering 95 percent support IHT being reduced.
Writing for thisismoney.co.uk Simon Lambert called for IHT to be halved to 20 percent in a “long due” overhaul.
He explained: “My argument is that a 20 percent charge feels far more reasonable than a 40 percent tax and this greatly reduces the incentive to avoid inheritance tax and creates less of a reason to hate it.
“And hate it, we do. Inheritance tax has long laid claim to the dubious title of Britain’s most hated tax, regularly winning polls of the levies people dislike the most.”
In a poll that ran from 2pm on Friday, May 19, to 11.30pm on Monday, May 22, Express.co.uk asked readers: “Should inheritance tax rate be cut to 20 percent?”
A total of 1,353 votes were received, with the overwhelming majority of readers, 95 percent (1,292 people) answering “yes” it should be reduced, whereas four percent (58 people) said “no”, and just three people said they did not know.
Dozens of comments were left below the accompanying article as readers discussed their thoughts on IHT.
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The predominant view shared by readers was in support of the IHT rate being reduced, with username astianax commenting: “A reduction to 20 percent is a good beginning with the aim of getting rid of this so-called ‘death tax’.”
Other readers agreed that IHT should be abolished. Username Worldwatcher remarked: “The inheritance tax should be totally eliminated. Taxing the property of the dead is not only immoral, it is abhorrent!”
And username ValBrooker said: “Inheritance tax is a crime against humanity. It shouldn’t exist at all.”
Yet a minority of readers expressed concern about the income generated by IHT, with username ajay202 explaining: “Where would the tax loss be funded from? Or what public services would we agree to reduce?”
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