My partner and I own several properties jointly. What are the Inheritance Tax implications if one of us dies, especially concerning the unused residential nil-rate band, and how can we structure our wills to optimise this?
Quick Answer
Inheritance Tax (IHT) for jointly owned properties can be significant. Maximising the Residential Nil Rate Band (RNRB) and general Nil Rate Band (NRB) through carefully structured wills is essential to reduce IHT liability, especially when passing properties to direct descendants.
About This Topic
Property investors can utilise transferable Nil Rate Bands of £650k and Residential Nil Rate Bands of £350k to reduce Inheritance Tax. Proper will structuring is essential.
This question is part of our Tax & Accounting category, providing expert guidance on UK property investment.
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