Tax Update for Private Client Practitioners 2025

KEY SUBJECTS

The focus of this conference will be the changes announced in the October 2024 Budget, what those changes mean for private clients and the tax planning issues that arise.

• APR/BPR: THE NEW CAP ON BUSINESS AND AGRICULTURAL RELIEF & HOW IT WORKS
• PENSION PLANNING AND INHERITANCE TAX
• TAX ISSUES ON PLANNING WITH INTERESTS IN POSSESSION (ESPECIALLY IPDIS)
• WILL DRAFTING: THE KEY ISSUES IN PLANNING FOR THESE CHANGES
• LIFETIME ESTATE PLANNING, FOLLOWING THESE HUGE TAX CHANGES

SPEAKERS

John Bunker, Solicitor, Chartered Tax Adviser and Lecturer

Ola Adeosun, Financial Planner and Head of Regional Wealth Planning at LGT Vestra

Simon Douglas, Barrister, 5 Stone Buildings

Naomi Neville, Solicitor, Partner, Irwin Mitchell

PROGRAMME

CHAIRMAN’S INTRODUCTION

APR/BPR: THE NEW CAP ON BUSINESS AND AGRICULTURAL RELIEF & HOW IT WORKS

The new cap on 100% relief, from April 2026, the first in a generation since the 100% relief was introduced, has caused consternation and anger, especially among farmers. This talk will consider how we can help clients prepare for these changes.

• The £1m allowances and how they might work
• How do farmers get their much talked about “up to £3m tax free”
• The position with trusts, set up before and after Budget Day
• New opportunities for lifetime succession planning
• The impact of the new, limited rates of BADR relief for CGT
• How the crucial valuation of land and assets affects planning

John Bunker, Solicitor, Chartered Tax Adviser and Lecturer

PENSION PLANNING AND INHERITANCE TAX

This session will focus on recent pension changes leading up to the October 2024 budget. It will look at the impact and implications of the announcements from the budget and, planning considerations for clients. The changes don’t take effect until April 2027, but clients need to be re-thinking their planning now.

Ola Adeosun, Financial Planner and Head of Regional Wealth Planning at LGT Vestra

TAX ISSUES ON PLANNING WITH INTERESTS IN POSSESSION (ESPECIALLY IPDIS)

Immediate Post Death Interests (IPDIs) are likely to become increasingly important for many clients, including farmers/business owners, who may need to use an IPDI e.g. for their spouse (followed by earlier termination of the interest) to pass assets tax free to children.

• General requirements for an IPDI
• Effect of s.80
• Early termination of interests in possession – IHT and CGT issues
• IPDIs and claiming the RNRB
• Post-death rearrangements involving IPDIs
• GROB issues and s.102ZA
• Registration on the TRS and administration

 Simon Douglas, Barrister, 5 Stone Buildings

WILL DRAFTING: THE KEY ISSUES IN PLANNING FOR THESE CHANGES

The knock-on effect of bringing pensions into the IHT net, combined with the huge changes in the IHT treatment of businesses and farms, means some major re-thinking of will planning with reference to IHT.

• How to maximise the use of the NRB and any transferable NRB
• How to secure RNRB, especially when pensions are taken into account for the £2m threshold
• The use of Discretionary trusts and IPDIs in wills for spouses
• The interaction of 100% and 50% relief in will drafting
• Maximising APR/BPR through will structuring

 Naomi Neville, Solicitor, Partner, Irwin Mitchell

LIFETIME ESTATE PLANNING, FOLLOWING THESE HUGE TAX CHANGES

What all this means for how clients use assets in lifetimes, and how to plan long term for mitigation of IHT and other taxes.

• A frozen NRB for IHT for more than 5 years, until 2030, means all clients are affected even if no business, farm or pension
• Alongside higher CGT rates, stealth taxation of Income tax and CGT continues for 3 ½ years
• So how we can help clients squeezed for more tax, with all the frozen or cut allowances, exemptions etc?
• Lifetime gifts become even more significant, so how to do most effectively?
• What needs re-thinking in the use of assets now pensions are not going to be free of IHT?

 John Bunker, Solicitor, Chartered Tax Adviser and Lecturer

CLOSE OF PROCEEDINGS