When a person dies with a will in place, the executor named in the will applies to the court for a Grant of Probate. The probate authorises the executor to act on behalf of the deceased and administer the assets (property, cash, investments).
US President Benjamin Franklin said in 1789, “The Only Two Certainties In Life Are Death And Taxes.” Today, however, governments are offering several ways to reduce one of these certainties by offering tax-free incentives to encourage more people to save.
Inheritance tax (IHT) is part of a broader taxation system. It is a tax levied on a deceased’s estate with the politically controversial intention of limiting inherited wealth and redistributing income via the state’s coffers to the benefit of all.
Investments are designed to earn income and are subject to taxation in the same way as income earned from employment. When you understand that, you can do something about your tax liability.