Ok, as many of you are aware my dad passed away recently amd yet another issue has arisen.....inheritance tax.
It looks like he died intestate and it's just my mum (who will get two thirds) and my brother and I (who each will receive one sixth of the total estate). Now, we are a solid family unit (yes I hear you cry, for how long!) with a goal of development of a commercial site in the estate. The current total value of the estate is (at last valuation in jan 2007) app. 1 million.
My brother and my first reaction was to signa waiver of inheritance and let mum take all but upon reflection, is that unwise on future tax grounds (when my mum dies and hopefully passes on to us)? Given that our aim as a family is to develop and hopefully enhance the value of the site through development, we may be liable for a large inheritance tax bill upon my mother's death, so should we take what we can now (not literally take, just retain joint ownership)?
How exactly does it work, do you get two opportunities to inherit x amount tax free when each of your parents die or is it a total amount for life that is tax free through the death of both parents?
I am really seeing the expression "asset rich, cash poor" these past few days btw!
It looks like he died intestate and it's just my mum (who will get two thirds) and my brother and I (who each will receive one sixth of the total estate). Now, we are a solid family unit (yes I hear you cry, for how long!) with a goal of development of a commercial site in the estate. The current total value of the estate is (at last valuation in jan 2007) app. 1 million.
My brother and my first reaction was to signa waiver of inheritance and let mum take all but upon reflection, is that unwise on future tax grounds (when my mum dies and hopefully passes on to us)? Given that our aim as a family is to develop and hopefully enhance the value of the site through development, we may be liable for a large inheritance tax bill upon my mother's death, so should we take what we can now (not literally take, just retain joint ownership)?
How exactly does it work, do you get two opportunities to inherit x amount tax free when each of your parents die or is it a total amount for life that is tax free through the death of both parents?
I am really seeing the expression "asset rich, cash poor" these past few days btw!