How does an Asset Protection Trust help me?

Trusts carry out a number of different functions. One of the main benefits is ensuring the control of assets remain in the family bloodline, which we call bloodline protection.

Table of contents

Trusts carry out a number of different functions. One of the main benefits is ensuring the control of assets remain in the family bloodline, which we call bloodline protection.

There are a number of issues that could mean assets are passed outside of the family when that was never the original intention of passing assets to children and grandchildren.



Remarriage after the death of a bloodline relative

These and other issues are covered in our video – Is Estate planning more important than inheritance tax planning.

Assets can be gifted into Trusts during lifetime or on death. An asset protection trust can protect the gift and retain it within the family bloodline.

An asset protection trust is useful for bloodline protection, but only if those assets are intended to be given away directly.

This could be a property, although capital gains tax will apply if the property in question is not the main residence. There are other significant taxation issues which arise on the rented property being held in an Asset Protection Trust, which means experienced advice is essential.

The assets could also be cash intended to help children onto the property ladder or other reasons. In this event, a deed of assignment places the funds into the Trust, and a Deed of Loan lends the money interest-free to the relevant beneficiary. In the event of a potential claim on those assets by a non-bloodline person, the loan is recalled into the Trust and can be re loaned back again later. For example, after a divorce is settled.

This works because there are multiple beneficiaries of the Trust ( my children and grandchildren) some who may not be born yet and so a divorce court cannot stipulate the asset belongs to the beneficiary to who it has been loaned.

If you are considering making significant gifts with a value in excess of £50,000 this planning would be useful so please call us for a free no obligation consultation.

Join our Newsletter

Subscribe and get the latest updates about inheritance tax and Estate Planning into your mailbox.

We help people with over £1 million in current assets pay ZERO in UK inheritance tax

One stop comprehensive specialist advice - Tax, financial planning and legal advice service with 18 years experience.

What our clients say
Read our 118
    

"It is gratifying to finally come across an adviser who gives sensible ongoing advice which is very client focused."

Frank Hibberd

Retired gentleman

"It is nice to know that we can now be certain that our daughter will inherit our money without giving a large slice of it to the government ."

Tony & Sue Perriss

"Everyone's situation is different but having an initial discussion with Charles has really helped me personally navigate what can be a daunting subject."

Bobby Chadda

"I particularly want to thank you for the open and transparent manner in which you have serviced my tax planning needs since I first met you seven or so years ago. In arranging my tax planning through you, I have confidence"

Michael Mahon

Retired gentleman

"Charles was really helpful from the outset and quickly clarified our situation for us... I have used Bluebond for  IHT and other tax advice and they have been very helpful with both. Charles is a very experienced and knowledgeable individual and I highly recommend Bluebond's services."

Sam Attenborough

Retired gentleman

I have used Bluebond for setting up a discretionary trust for my children as well as inheritance tax and estate planning for my home and  other properties. Having searched for years, it was only after meeting and speaking with Charles that I felt confident enough to take these next steps, and I'm very glad I did. His ability to explain complex issues in simple terms and walk you through every step of the process is quite simply unparalleled.

Imran Qureshi

Excellent and comprehensive advice concerning all things financial in one place. Enthusiastic, Educational, Expert, value oriented, Professional and Polite are adjectives that come to mind as well as great attention to detail.

Deirdre Buckley

Inheritance tax is a minefield. Charles de Lastic of Bluebond Tax Planning is the best in the business at helping you to chart the path that is right for you to ensure your estate is structured in the most tax efficient manner.

Nicholas Dickinson

Charles provides clients with valuable insights that clearly demonstrate expertise built over the years. Charles and his team guided us through a estate planning journey and then addressing complex Inheritance Tax matters. They have been very transparent with their advice and cost. Overall an excellent service. Highly recommended

Shailesh Karia

The information contained in this web site is for UK consumers only.  Like most firms of solicitors and accountants, Bluebond Tax Planning is not regulated by the FCA. The content of this website does not constitute FCA regulated financial advice and all content is provided for general information purposes only. Bluebond is not responsible for any action you may take as a result of information on this site. All advice will be delivered on a personal basis once we fully understand your situation and our client agreements have been signed.

Copyright © 2024
Copyright Notice
Legal Disclaimer
Terms & Conditions
Privacy Policy