The Office of Tax Simplification (OTS) has made some recommendations and proposals to make changes to Inheritance Tax. Whilst these proposals may look good on the surface, do they actually lead to the elimination of some useful tax breaks such as taper relief?
Timescales
A welcome proposal made by the OTS is the reduction of the seven-year gifting rule to five years. This would see individuals being able to make gifts to their children and only have to survive five years for it to