Important News! Changes in the Law that may affect your Will.
If an individual dies on or after 6 April 2017 an estate will be entitled to the new Residence Nil Rate Band (RNRB) if the individual owns a home, or a share of one, and an individual’s direct descendants, such as children or grandchildren inherit the home or a share in it. An estate will also be entitled to the RNRB where an individual has downsized to a less valuable home or sold or given away their home after July 2015.
If a house is held in a discretionary trust, the house wouldn’t normally form part of a person’s estate. In these circumstances their estate wouldn’t be eligible for RNRB, even if the house goes to the beneficiary’s direct descendants on the beneficiary’s death.
Similarly, if a house is put into a discretionary trust on death, the deceased’s estate won’t qualify for the RNRB.
You should, therefore, review your Will and make an appointment with one of our qualified lawyers to discuss how the RNRB applies in these circumstances to your Estate.