Holding the right structure can pay big dividends
Few assets are inherently tax-efficient. While growth in the value of oneís principal residence is not subject to capital gains tax, a home is a home and should not necessarily be viewed as an investment. Most assets, however, come with a choice of tax-efficient returns if held through the right structure.
Will you give a cash loan to family members instead of leaving an inheritance?
A quarter of over-75s and more than a fifth of over-55s in total (21 per cent) have given a cash loan to family members instead of leaving an inheritance, according to Aviva’s latest Real Retirement Report. The findings also show nearly one in ten over-55s regularly give money to family to avoid Inheritance Tax (8 per cent), while a further 20 per cent would do the same.
If you haven’t checked your premium bonds in a while, today may be your lucky day
Are you switched on to the tax benefits of pensions?
Research by Standard Life reveals that more people are now aware of the tax-efficiency of pensions than a year ago. Almost 2 in 5 people (39 per cent) are aware that the Government automatically adds £1 for every £4 you invest in a pension if you are a basic rate taxpayer (subject to annual limits). In 2012, only 3 in 10 (29 per cent) UK adults said they knew the Government added this level of ëfreeí money to pension contributions.
New research shows 2 in 5 retirees support their families financially