Gifting during lifetime can be an effective tool for individuals to pass on wealth, support their loved ones, and potentially reduce Inheritance Tax (IHT). However, gifts made without appropriate advice, documentation or record-keeping can create significant complications when a donor’s estate is later administered.
During estate administration, executors and professional advisers may need to identify gifts made during the deceased’s lifetime, establish when and how they were made, and determine their treatment for Inheritance Tax purposes. At Kings Court Trust, we regularly see estates where families are unaware of gifts the deceased made, or instances where families do not fully understand how those gifts affect estate administration. Where information is incomplete or family members are unaware of previous gifts, this can result in:
- Unexpected Inheritance Tax liabilities
- Disagreement between beneficiaries
- Difficulties identifying and verifying gifts
- Delays in estate administration
For will writers, financial planners and other professionals involved in later-life and estate planning, it is therefore important to consider not only the immediate purpose of a gift, but also how it may affect the future administration of the client’s estate.
In this blog, Kings Court Trust covers:
- What is considered a gift for Inheritance Tax purposes
- Gifts with Reservation of Benefit (GROB)
- Potential Exempt Transfers (PETs) and the seven-year rule
- Chargeable Lifetime Transfers (CLTs)
- How taper relief works on lifetime gifts
- Gifts assets that may qualify for Business Property Relief and Agricultural Property Relief
- How professional advisers can help clients to reduce the risk of future complications
- Plus, much more
Read the full article on lifetime gifting and estate administration here.
About Kings Court Trust
Kings Court Trust is an award-winning estate administration provider (‘Innovation and Transformation of the Year’ in 2025 and ‘Probate Provider of the Year – South’ in 2024), that takes care of the practicalities after death. Their full suite of estate administration solutions is designed to support all families. By providing free, practical advice on the next steps following a bereavement, they can support your clients and add value to your business.
- Regulated by the Institute of Chartered Accountants in England & Wales (ICAEW)
- Trusted provider of estate administration for large UK-listed companies
- Offer a generous referral fee for referrals that result in business
- Fixed and transparent pricing
- In-house legal and tax experts to advise on any situation
The Kings Court Trust partnership model is also geared towards the introduction of potential new clients. Where the beneficiaries provide their consent, Kings Court Trust can also introduce them back to the referring firm, helping advisers maintain valuable client and family relationships.
If you have any questions about probate, estate administration, or how you can work in partnership with Kings Court Trust, call them on 0333 207 5470 or email partners@kctrust.co.uk.
This article was submitted by Kings Court Trust as part of an advertising agreement with Today’s Wills and Probate. The views expressed in this article are those of the advertiser and not those of Today’s Wills and Probate.
