IHT law change could boost charity giving

CHARITIES are expected to receive a boost from a planned change in the law relating to inheritance tax.

Martin Payne, the Leeds-based director at Brewin Dolphin, said a new inheritance tax incentive for charitable giving could increase the numbers of people leaving a charitable legacy.

A poll, conducted by ICM on behalf of Brewin Dolphin, found that 67 per cent of people in Yorkshire do not have a will.

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The Brewin Dolphin ICM poll also found that only one in five of those who have a will, or are planning to make one, will leave a proportion of their estate to charity.

This number increased to 32 per cent after respondents were told that a 10 per cent lower rate of inheritance tax (IHT) would be applied to the remainder of their estate, if they gave 10 per cent of their estate to charity.

Martin Payne, the director of Brewin Dolphin in Leeds, said yesterday: “It is very encouraging that the planned new inheritance tax incentive for charitable giving appears to entice many more people to be generous to charity in their wills. This could make a significant change to philanthropy in this country. However, we would urge people to seek advice on how the new legislation will affect their estate planning – as it is not as simple as it sounds.”