Arranging your financial plans with Ashwood Law could be convenient and simple.

As Independent Financial Advisers we have the benefit of being able to select from a wide range of financial products and offer services aiming to ensure we recommend the most appropriate to your wishes, current needs and circumstances.

Extract from our latest Focus newsletter…

Inheritance Tax (IHT)
For business interests with a significant value a share purchase arrangement is also an ideal opportunity to consider inheritance tax and, where necessary, such an arrangement can be structured in a way that reduces exposure to IHT.

Usually no IHT would be payable on the value of your interest in a partnership or unquoted company on your death. This is due to a tax relief called ‘Business Property Relief’ which effectively ensures owners can pass their share in a business on death to their beneficiaries without them having to pay IHT on it’s value.

Typically, however, this only postpones the problem as, usually, the business share passes to the deceased’s spouse who then sells to the surviving owners. On the spouse’s death, therefore, the proceeds he/she received from the sale forms part of the value of his/her own estate for IHT purposes. It is possible, using a specialised trust – often referred to as a ‘spousal by-pass trust’ – to protect the sale proceeds from inheritance tax whilst still ensuring the surviving spouse can benefit from this money during his/her lifetime.

The importance of taking professional advice in respect of a share purchase arrangement cannot be overstated. The arrangements can be extremely complex in certain cases, depending on the type of organisation and it’s structure, and it is therefore essential that both the share purchase agreements and life assurance arrangements are correctly tailored for your business and structured in a way to avoid any adverse tax implications.

It is important that all the key shareholders or partners participate in such an arrangement where possible. Your Financial Adviser will be able to look at the specific circumstances of your business and
recommend a suitable solution.
See Latest News - Focus Autumn 2008 - for the full article.

Find Out More About Us

 FSA "Money Made Clear"

We believe we are one of the Midlands leading IFAs
Having been established for over 25 years Ashwood Law has a wealth of experience helping clients and businesses take advantage of the full range of products available to the IFA market. Our clients can feel secure in the knowledge that their finances are well taken care of.

Career Opportunities
By working with us as an IFA, we can provide you with the best quality introductions and support.