Wealthy parents in the UK are increasingly donating to charity to mitigate inheritance tax (IHT) liabilities. A study by Rathbones shows that 53% of high-net-worth parents, with average assets over £3m, have raised their charitable contributions in the past two years. Gifts to charity are exempt from IHT, and donating at least 10% of an estate to charity reduces the IHT rate from 40% to 36%. Gemma Gooch, head of charities distribution at Rathbones, said: “Our analysis shows many wealthy parents, already concerned about inheritance tax, fear the impact of too big an inheritance on their children’s aspirations and drive. It is, therefore, no surprise that more are increasingly turning their attention to charitable giving.”
Charity donations used to ease IHT
64 responses to “Charity donations used to ease IHT”
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