Suitability
AIM investment for Business Relief offers flexibility in Inheritance Tax planning, and can help clients in a number of circumstances.
100% relief from IHT is expected on death after only two years which is in contrast to having to survive for seven years under other estate planning options. Should death occur after April 2026 then the rate of relief will be 50%.
And as the investor retains access to their capital, this may appeal to clients reluctant to gift assets and who wish to make capital withdrawals if and when required.
The portfolio invests in AIM-listed companies, all of whom contribute to sustainable improvement to social or environmental challenges.
Examples of where AIM/Business Relief investment can help clients include:
– Those in later life with no, or inadequate, protection from IHT.
– Those facing the prospect of reduced life expectancy given their state of health.
– Those reluctant to gift assets and lose access to their wealth.
– Those who have built up large ISA holdings over the years.
– Power of Attorney cases, where the attorney wishes to instigate IHT planning without requiring Court of Protection approval.
– Clients who have sold their business in the last three years and where the proceeds of the sale give rise to an IHT liability.
– Clients looking to settle assets into discretionary trust where IHT charges will subsequently apply.