Inheritance tax to be reviewed

Inheritance tax needs to be reviewed when the government assesses the tax system, a new report has claimed. The Office of Tax Simplification claims there are currently too many tax loopholes, including those associated with inheritance tax.

Many parents pass property and assets to their children via trust funds, meaning they are not subject to inheritance tax. As long as the parent lives for a further seven years after the transfer the tax does not apply. However, the OTS wants these rules examined.