Discounted Gift Schemes can seem an attractive option for investment, but there are pitfalls for the unwary, says Peter Nellist
Discounted gift schemes (DGSs) can be presented as a panacea for most IHT problems. They have three characteristics that appeal to many clients:
- A gift is made and part of the value of that gift (for IHT purposes) immediately disappears (the discount).
- The rest of the value disappears after seven years.
- For up to 20 years (or earlier death) the client can still receive an income.
Read the full article at the Solicitors Journal website