There are some important changes afoot. This sheet is to remind you of particular recent developments that may be of interest or concern. Further information can be provided promptly on request, although you may care first to visit other areas of our website as mentioned below for more expansive guidance on the issues involved.
Home Information Packs (“HIPs”)
A HIP is now (or soon will be) required to sell your property.
Kite Griffin is a provider of fully compliant HIPs to existing and prospective new clients, utilising a method that seeks to maximise safeguards but minimise expense and delay.
Further details, including information as to probable cost, can be found at our HIP introduction page
If you are likely to need a HIP please contact Clare Sharp, clare@kitegriffin.co.uk, telephone 01344 425367 for full written details, including a formal cost estimate. These can be sent promptly to you by email and/or by post, on request.
Enduring Powers of Attorney (“EPAs”) and Lasting Powers of Attorney (“LPAs”)
Legislation has been introduced to completely change requirements for the future. The current system has worked well for many years, with limited exceptions. However, an extensive review has resulted in a determination that considerably more complicated arrangements should now be made.
The new regime will bring in LPAs and is due to come into effect in October 2007. Any EPAs created beforehand under the “old” law will remain valid, notwithstanding the changes. Clients of Kite Griffin, may therefore wish to take advantage of the relative simplicity and low cost of existing EPA documents and procedures, whilst there is still time. Our own charge for an average EPA of this type is £50.00 plus VAT.
It is not yet possible to accurately forecast the cost of new LPAs, after the change. The government has been slow to produce the complex regulations that are to apply. However, there are two different forms, both of which may be necessary in any individual case; each form is significantly longer (10/12 pages); each has to be registered with the Court of Protection before utilisation; there is to be a court fee of £150.00 upon each registration (i.e. potentially £300.00 for one individual); and once registered, the new powers can only be exercised under court supervision.
If you do not yet have a current valid EPA and would like to discuss arrangements for putting this in place (perhaps for yourself and your partner), please contact Katherine Allen, katherine@kitegriffin.co.uk, telephone 01344 425637 for details, or visit our Powers of Attorney page
Will Loan Trusts
Family wealth is under further attack from significant changes to capital transfer tax.
For some considerable time now, Kite Griffin have been promoting an arrangement that is an inexpensive and seemingly effective method of substantially mitigating potential inheritance tax liability in family situations. This is achieved without causing difficulty or potential loss of financial independence for a surviving spouse.
The scheme does not involve a discretionary trust and is understood not to have been caught by the Chancellor of the Exchequer’s recent crackdown on avoidance schemes.
If you and your spouse have, or are likely to have, on first death, non-pension assets much exceeding £300,000.00 at today’s values, you are welcome to contact us to discuss the matter further. Please direct enquiries to Katherine Allen, katherine@kitegriffin.co.uk, telephone 01344 425637, or visit Wills and Inheritance Tax page
If it seems that you may benefit from a Will Loan Trust, we shall be pleased to send you a letter of explanation and a formal cost estimate, on request.
