Why is a lifetime trust better than a Will Trust for UK inheritance tax?

[@adamwilliams5372]

Thank you that was really clear and makes sense

[@Inheritancetaxadvice]

Great - Glad we could help

[@davidhaspell6417]

Thanks, interesting. Currently looking to set up a Lifetime trust

[@Inheritancetaxadvice]

Hi David - why not join one of our webinars on Saturday mornings to learn more - bookable on our website - www.bluebond.co.uk/calender-widget-free-help

[@olitonottero7620]

super helpful thank you

[@Inheritancetaxadvice]

Thanks and glad we could help

[@MichaelWilliams-lo3ix]

Brillant

[@Inheritancetaxadvice]

Thanks Michael - I appreaciate the positive feedback.

[@DHBenoit]

Well explained, thanks

[@Inheritancetaxadvice]

Thanks and glad we could help

[@nikkion2140]

Please clarify is the Will Trust commonly called Will that people refer to for passing on their assets after death?

[@Inheritancetaxadvice]

No a Will is a document that clarifies who an estate will pass to and a Will trust are paragraphs within a will that raise the option to set up a trust on death

[@nikkion2140]

What is the cost for setting up a lifetime trust in UK? How does it compare with will trust?

[@Inheritancetaxadvice]

Its done as an estate planning package and vaires according to the family and the number of trusts set up

[@Inheritancetaxadvice]

Much more expensive as the trust is set up. during lifetime and registered with HMRC. A will trust does not exist until you die and the costs occur at that point

[@ariloiola]

is a lifetime trust the same as an irrevocable trust?

[@Inheritancetaxadvice]

No - it is an estate planning dicretionary trust set up during lifetime with a settlement of £10 to recive assest on death. Most people estate plannig trusts are inclueded in thier Wills but do not exist until the settlor dies. Of course that settlor takes the risk that the tax rules may change before they die - not a risk worth taking in my opinion.