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Reasons to Use Protective Property Trusts

What are Protective Property Trusts? Protective Property Trusts (PPTs) are one of the most widely used trusts in wills today. The trust will usually take the deceased’s share in their main residence and give another person known as the life tenant (usually a surviving spouse or civil partner) a life interest in the property. This ... Read moreReasons to Use Protective Property Trusts

Duty of Care to Produce Documents – A reminder on White v Jones

As soon as you have accepted instructions from your clients, you have a duty of care to keep time delays to a minimum and to produce the final documents. As part of our process, we issue draft documents and request that you respond to us within 10 working days to ensure a fast turnaround for ... Read moreDuty of Care to Produce Documents – A reminder on White v Jones

Abatement – How the estate is applied towards its liabilities

Where a deceased’s estate is not able to meet all liabilities and expenses, all gifts in the Will fail, as all their estate will be needed to meet the estate’s liabilities. Where the estate is solvent and able to meet all its liabilities, there is a certain order in which assets will be applied towards ... Read moreAbatement – How the estate is applied towards its liabilities

Revoking an EPA or LPA

A donor may occasionally review their Lasting Power of Attorney (LPA) or Enduring Power of Attorney (EPA) and realise that their circumstances have changed since the documents were signed. There are unfortunately no steps in place to amend an existing LPA or EPA and if the donor wishes to make changes, they will need to ... Read moreRevoking an EPA or LPA

Lasting Powers of Attorney—Cross Border Concerns

The international enforcement of Lasting Powers of Attorneys (LPAs) abroad, and similar foreign protective measures here, can be a complex area but it is an issue that is becoming more common. Where there is an international element to a donor’s arrangements, it is vital that their situation is clarified as soon as possible. If clarification ... Read moreLasting Powers of Attorney—Cross Border Concerns

Organ Donation (Deemed Consent) Bill – Organ Donation Rules are Changing in England

The Organ Donation (Deemed Consent) Bill has passed its final hurdle in Parliament and is now waiting for a date to receive Royal Assent. Due to this, this is now a good time to remind you what the current opt-in rules for organ donation are, and what the new opt-out rules will be. There currently ... Read moreOrgan Donation (Deemed Consent) Bill – Organ Donation Rules are Changing in England

Letters of Wishes—What WillPack can do for you

A letter of wishes is simply a non-binding letter, stored with the will, that states certain desires of the client. They have a variety of different uses. This article is intended to show what clients could be doing with letters of wishes, and how WillPack can assist with this. Letters of Wishes for Trusts Letters ... Read moreLetters of Wishes—What WillPack can do for you

Common Errors in the Signing of Lasting Powers of Attorney – Updated

As an important legal document, a Lasting Power of Attorney needs to be legible and the Office of the Public Guardian will reject any documents that do not meet their standards. We check a large number of LPAs before they are sent to the OPG, some common errors are detailed below: Dates Please take the ... Read moreCommon Errors in the Signing of Lasting Powers of Attorney – Updated

Looking ahead in 2019 – Important Changes and Dates for Estate Planners

We’re now a couple of weeks into 2019 and have hopefully cleared any Christmas holiday backlogs, so now is a good time to look ahead at what’s to come over the course of the next year. Below is an overview of events to look out for: Probate Fee Changes It is expected that the new ... Read moreLooking ahead in 2019 – Important Changes and Dates for Estate Planners

Office of Tax Simplification Inheritance Tax Review – First Report

Last year, the Office of Tax Simplification (OTS) was asked by the Chancellor of the Exchequer to conduct a review into Inheritance Tax (IHT). Their call for evidence received a record amount of responses from both professionals and members of the public. The OTS’s findings are being published in two reports. The first report, covering ... Read moreOffice of Tax Simplification Inheritance Tax Review – First Report

Business Property Relief (Continued)

Following on from the article last week, this article will cover the remaining conditions that must be met for a business to qualify for business property relief (BPR). Please note that the following should only be intended as a brief introduction to BPR. BPR is a complex area with several pitfalls. When it comes to ... Read moreBusiness Property Relief (Continued)

Business Property Relief – Qualifying Businesses

What is Business Property Relief? Business property relief (BPR) is a relief from inheritance tax (IHT) for certain business assets. When its conditions are met, the value of gifts of the business assets are reduced for IHT purposes by either 100% or 50%. The main aim of BPR is to reduce the risk of IHT ... Read moreBusiness Property Relief – Qualifying Businesses

Flexible Life Interest Trusts and the Residential Nil Rate Band

Ever since the Residential Nil Rate Band (RNRB) was announced, one of our most common queries has been how it relates to Flexible Life Interest Trusts (FLITs). What are FLITs FLITs are essentially a life interest for a person (usually the surviving spouse), with an underlying discretionary trust that will arise when the surviving spouse ... Read moreFlexible Life Interest Trusts and the Residential Nil Rate Band

Options for Inheritance Tax Planning

Continuing from last week’s article, there are options available to the testator(s) when it comes to Inheritance Tax (IHT) planning. Some planning can simply be done by a well drafted Will, whilst others will require lifetime planning. The best approach will depend on the factors covered in last week’s newsletter. What options are available with ... Read moreOptions for Inheritance Tax Planning

Probate Fee Changes

The Ministry of Justice announced this week that the government will move forward with a new branded structure for probate fees. This system was announced last year but put on hold before the snap general election. It has been stressed that all money raised from these new fees will be spent on running the courts ... Read moreProbate Fee Changes

Considerations for Inheritance Tax Planning

An important part of estate planning is to determine if the testator has an Inheritance Tax (IHT) liability. IHT is a tax charged when wealth changes hands, most commonly charged on death, but may also be charged during lifetime. IHT is charged when assets above the Nil-Rate Band (NRB) are passed. Each person has their ... Read moreConsiderations for Inheritance Tax Planning

Lasting Powers of Attorney: Can the donor’s will be disclosed to attorneys?

Since 1st March 2017, it has been accepted that a donor’s will can be disclosed to the attorneys of their Property and Affairs Lasting Power of Attorney (LPA). Before this date, it was believed that the will could only be disclosed if the LPA gave express authorisation for this. Can the will be disclosed whilst ... Read moreLasting Powers of Attorney: Can the donor’s will be disclosed to attorneys?

WillPack Professional Indemnity Insurance & Liability

Partner Only Content

 

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Considerations when appointing Executors or Trustees

Most testators will usually appoint their surviving spouse or partner, children, close family or friends to act as their executors and trustees. Whilst there is nothing wrong with appointing family members and friends, there are a number of points that a testator may need to be advised of. Personalities Where multiple people are being appointed, ... Read moreConsiderations when appointing Executors or Trustees

Intestacy

Intestacy will occur when a person has not left a valid will, or if their will does not dispose of all of their estate (for example if all of the residuary beneficiaries had predeceased). Any assets that would not pass into the estate will not pass via intestacy. See our previous newsletter for more information ... Read moreIntestacy

Transferring and Tapering the Residential Nil Rate Band

Transferable RNRB Any unused Residential Nil Rate Band (RNRB) is available to be transferred to a surviving spouse as long as second death occurs on or after 6th April 2017. On second death, the surviving spouse’s Personal Representatives (PRs) are able to claim both the deceased’s RNRB and the unused RNRB of their late spouse, ... Read moreTransferring and Tapering the Residential Nil Rate Band

Revoking a Will

There are four ways that a will may be revoked. Marriage/Civil Partnership As a general rule, a marriage or formation of a civil partnership revokes any will that a testator made before the marriage or civil partnership under S18 and S18B Wills Act 1837 respectively. There are however some exceptions to this rule. If it ... Read moreRevoking a Will

Accounts System

Partner Only Content

 

Sorry, this section of the WillPack website is for partners only. If you would like to become a WillPack partner you can register by downloading and completing our application forms.

If you are already a partner you can log in to the Partner’s Area for full access. If you have forgotten your password, you can reset it here.

Should you require any further assistance, please contact us and we will endeavour to assist you as soon as possible.

Administration Notes

Partner Only Content

 

Sorry, this section of the WillPack website is for partners only. If you would like to become a WillPack partner you can register by downloading and completing our application forms.

If you are already a partner you can log in to the Partner’s Area for full access. If you have forgotten your password, you can reset it here.

Should you require any further assistance, please contact us and we will endeavour to assist you as soon as possible.

Inheritance Tax Planning for Unmarried Couples

The legal position of cohabiting couples varies to that of a married couple and they do not receive some of the benefits that married couples receive. Inheritance tax planning that is common place and simple for married couples may not therefore be the best option when it comes to unmarried couples. A married couple can ... Read moreInheritance Tax Planning for Unmarried Couples

IPDI vs FLIT

Complex families often come with complex requirements to meet their long-term goals, and matters can be made more difficult when each testator has separate goals or concerns in mind. These goals usually revolve around the inheritance the children are to ultimately receive and when they receive it, and it certain cases, if they inherit at ... Read moreIPDI vs FLIT

Replacement Attorneys on a Lasting Power of Attorney

Under an LPA, the donor can name specific replacement attorneys that will step in to act in certain situations. When the replacement attorneys step in will depend on how the original attorneys are appointed. Replacing a sole attorney Replacements attorneys will start acting as soon as the original attorney is no longer able to act ... Read moreReplacement Attorneys on a Lasting Power of Attorney

Survivorship Clauses and Commorientes

Survivorship clauses between spouses will often include provisions so that the survivorship period will not apply if they both die in circumstances where it is uncertain who survived the other, for example in a plane crash. The reasons for this inclusion is a very specific inheritance tax advantage where spouses die together, and it cannot ... Read moreSurvivorship Clauses and Commorientes

Inheritance Tax Review – An Update

Potentially changing the Inheritance Tax regime is big news at the moment and the past few weeks have provided some interesting developments. As mentioned in a previous article, the Chancellor of the Exchequer has requested that the Office for Tax Simplification carry out a review of the Inheritance Tax regime. Soon after this, the Office ... Read moreInheritance Tax Review – An Update

Mutual Wills

Mutual wills are wills made between multiple parties in which they are making some mutual benefit to the other parties and the parties involved agree that the wills cannot be revoked without the consent of the others. On the death of any of the parties the survivors will be bound by the terms of the ... Read moreMutual Wills

Inheritance Tax Exemptions and Allowances

Where clients are wishing to reduce their potential inheritance tax liability, there are lifetime inheritance tax exemptions and allowances they should be made aware of. For a number of these, they may need to seek regular advice from tax specialists to ensure that they will qualify for an exception or do not exceed an allowance. ... Read moreInheritance Tax Exemptions and Allowances

Chancellor requests a review of Inheritance Tax

In a letter published on the 31st January, the Chancellor of the Exchequer has requested that the Office for Tax Simplification carry out a review of the inheritance tax regime. The Chancellor has acknowledged that the inheritance tax system is complex and wished for simplification to ensure that the system is fit for purposes and ... Read moreChancellor requests a review of Inheritance Tax

Witnessing a Will

Arguably the most essential step when making a Will is the attestation of the Will itself, as all Wills must be signed and witnessed for them to be valid. Along with the testator signing the Will, their signature must be witnessed by two independent people. This means that the witnesses must not be a beneficiary, ... Read moreWitnessing a Will

Why use a Business Property Relief Discretionary Trust?

It is fairly common for spouses, where at least one of them owns a business and they wish to leave this to their spouse upon their death. On first death, this would be free of inheritance tax due to the spousal exemption. Second death should also be considered. If a business qualifies for business property ... Read moreWhy use a Business Property Relief Discretionary Trust?

Administration Notes

Partner Only Content

 

Sorry, this section of the WillPack website is for partners only. If you would like to become a WillPack partner you can register by downloading and completing our application forms.

If you are already a partner you can log in to the Partner’s Area for full access. If you have forgotten your password, you can reset it here.

Should you require any further assistance, please contact us and we will endeavour to assist you as soon as possible.

Administration Notes

Partner Only Content

 

Sorry, this section of the WillPack website is for partners only. If you would like to become a WillPack partner you can register by downloading and completing our application forms.

If you are already a partner you can log in to the Partner’s Area for full access. If you have forgotten your password, you can reset it here.

Should you require any further assistance, please contact us and we will endeavour to assist you as soon as possible.

How Attorneys Can Act

Where a client is wishing to appoint multiple attorneys or replacement attorneys, it should be considered how these attorneys are to act. Multiple attorneys can either act jointly, jointly and severally or jointly in some matters and jointly and severally in others. Attorneys acting jointly must make decisions for the donor together and must all ... Read moreHow Attorneys Can Act

Time Delays

The issue of time is a problem which nearly all Will Writers will face, most commonly due to the age or health of the testator. The case of White v Jones [1995] highlights this issue. A Solicitor took instructions and was found to be negligent because more than 40 days had passed, from the taking ... Read moreTime Delays

Second Death Gifts

Many couples making Wills wish to leave bequests of particular items, sums of money, or a share of their estate, but only when both testators have passed away. So how can we ensure this happens? The way to ensure that a gift is only made on second death is to place the gift(s) in both ... Read moreSecond Death Gifts

Hotchpot

For parents who have more than one child, it may be necessary during their lifetime to make monetary advances to help a particular child or children but not all at that time. For example; the purchase of a house or to help clear a debt problem. The advancement can be either be made as a ... Read moreHotchpot

PPTs: Concerns with Mortgages and Equity Release

PPTs: Concerns with Mortgages and Equity Release PPTs and Mortgages Should clients wish to use Protective Property Trusts (PPTs) in their Wills with a property that is subject to a mortgage, they should be aware that a share of the property cannot enter a PPT on first death as technically until the mortgage has been ... Read morePPTs: Concerns with Mortgages and Equity Release

WillPack Administrative Procedures

Partner Only Content

 

Sorry, this section of the WillPack website is for partners only. If you would like to become a WillPack partner you can register by downloading and completing our application forms.

If you are already a partner you can log in to the Partner’s Area for full access. If you have forgotten your password, you can reset it here.

Should you require any further assistance, please contact us and we will endeavour to assist you as soon as possible.

Missing Persons

Where a client has a close family member who is missing, there are a number of issues that you should be aware of. If a person has been missing for 7 years or more, family members can apply to the courts for a declaration to state that a person is presumed dead. Family may have ... Read moreMissing Persons

Executors & Trustees

Many Testators will choose the same people to act as both their Executors and Trustees, however each role is very different and comes with its own responsibilities so this may prompt testators to consider appointing different individuals for each appointment. Firstly, those who will deal with the administration process of the Estate – the Executors, ... Read moreExecutors & Trustees

Wills abroad

Wills Abroad Most, if not all WillPack members come across clients with assets abroad at some stage during their estate planning career. When this happens, the most important questions you can ask is, ‘what assets do you have overseas?’ and ‘do you have a Will in the respective country?’   If a client has real ... Read moreWills abroad

Lost Wills

Should it be the case that a Will cannot be found by family members after death, it is possible for a copy of the Will to be submitted for probate. This would be a complex procedure, with the Executors providing very detailed evidence that the copy is true to the Testator’s intentions and that the ... Read moreLost Wills

Law Commission: Making a Will Consultation

Law Commission: Making a Will Consultation The Law Commission yesterday (13/07/17) published a consultation paper on the law surrounding Wills. The consultation includes various comments, recommendations and areas for discussion. A brief summary of the main provisions of the consultation paper can be found below. Dispensing Power A number of foreign jurisdictions have what is ... Read moreLaw Commission: Making a Will Consultation

Organ Donation

It is a fairly common request from clients for their Wills to include a statement in regards to their organs being donated for transplant purposes after their death. Such can be included in the Will using the following wording: ‘If practicable I request that my body or any part of it may be used for ... Read moreOrgan Donation

Residential Nil Rate Band – Qualifying Residential Interest

Residential Nil Rate Band – Qualifying Residential Interest The rules for the Residential Nil Rate Band (RNRB) introduce a variety of new terms that need defining. The first of these is a Qualifying Residential Interest. The new S8H Inheritance Tax Act 1984 defines a Qualifying Residential Interest (QRI) as an interest in a dwelling which ... Read moreResidential Nil Rate Band – Qualifying Residential Interest

Privileged Wills

Privileged Wills are made by those in the Armed Forces, they are usually made whilst on active duty and where a situation arises where it may be necessary to declare their final wishes but do not already have an ordinary Will in place.  A Privileged Will can be made in any form, even verbally as ... Read morePrivileged Wills

Common Errors in the Signing of Lasting Powers of Attorney

As an important legal document, a Lasting Power of Attorney needs to be legible and the Office of the Public Guardian will reject any documents that do not meet their standards. Some common errors are detailed below: Dates The dating of a Lasting Power of Attorney is extremely important and the Office of the Public ... Read moreCommon Errors in the Signing of Lasting Powers of Attorney

Revoking a Lasting Power of Attorney or an Enduring Power of Attorney

Occasionally, a donor may review their Lasting Power of Attorney or Enduring Power of Attorney and realise that their circumstances have changed since the documents were signed, and will therefore wish to change them. To achieve this, these documents would need revoking. With an Enduring Power of Attorney, the process is simple. As the document ... Read moreRevoking a Lasting Power of Attorney or an Enduring Power of Attorney

Certificate Providers

Certificate Providers A Certificate Provider is an independent person who signs a Lasting Power of Attorney (LPA) to certify that at the time of signing, they are aware that the donor understands the purpose and scope of authority given by the LPA, that no fraud or undue pressure is used to influence the donor into ... Read moreCertificate Providers

Business Property Relief (BPR)

What is BPR? A relief applied to business property and can provide up to 100% relief from Inheritance Tax. There are a number of conditions which are required to be met: The business must be a qualifying business, The business must be what is referred to as ‘relevant business property’, and; Ownership conditions must be ... Read moreBusiness Property Relief (BPR)

Abatement

Abatement is the statutory order in which assets are used towards expenses, liabilities and debts. This order is dependent on whether the estate is solvent or insolvent. Where the estate is insolvent (the estate is insufficient to meet its liabilities), all gifts in the Will fail, as everything will be used to meet the estate’s ... Read moreAbatement

The Number of Trustees

When a Trust is included in a Will, clients will often wish for their surviving spouse to act as the sole Trustee. Whilst this is not an issue in most Trusts it can cause complications where the Trust includes land (such as a PPT). A sole Trustee is unable to give a valid receipt any ... Read moreThe Number of Trustees

September WillPack Newsletter Issue Two

With this month’s WillPack Newsletter we talk about PPTs, The Remember a Charity Campaign and a little on our experience with the LPA registration process. Have a click and a read!

September News! Round 1

The first edition of September’s Newsletter. If you’re one of our members and you’re looking for more clients then give us your details and we can share them more often on our growing social media. Click through to find out what we’ve been talking about these past two weeks.

Introduction to Guardianship

Appointment of Testamentary Guardians The appointment of testamentary guardians is rarely considered by parent, but it is highly desirable that they should consider who should look after their children if both were to lose their lives while their children are under eighteen. The appointment of a testamentary guardian can only be made by a person ... Read moreIntroduction to Guardianship

Flexible Life Interest Trust

Flexible Life Interest Trust  Due to more complex estates and greater wealth, greater flexibility is essential to cope with any future changes to the family structure (such as new family members) and changes in the tax regime. The best way to gain the maximum flexibility is by the use of a Flexible Life Interest Trust ... Read moreFlexible Life Interest Trust

Roles of executors and trustees

Who are trustees? A trustee is someone who is given legal responsibility to hold property in the best interest of or for the benefit of someone else (the beneficiaries). As the name implies, the trustee acts under a “trust” to do what is best and to act in the interests of the beneficiaries and not ... Read moreRoles of executors and trustees

Intestacy

Intestacy can be a complicated issue. Difficult to wrap your head around the ins and outs, if you haven’t worked much with it before. Below we’ve outlined the the rules in a simple flowchart to give you an idea on who will benefit from your estate if you a) have no Will or b) have ... Read moreIntestacy