Inheritance law -money in UK

[milkeybar kid]

Looking at this post on another forum and a number of replies that would imply a big ? mark on whats what.

Whilst in the UK we have been speaking with an advisor (financial) who suggested it is quite feasible and within the law to pay a special type of UK insurance (children usually pay it! who will inherit) that covers all within the EU, so that all inheritance taxes that are due are paid across the board by the insurance. When I get report I will post outcome. A piece of advice from our offshore bank said slightly tongue in cheek,- I suppose "an advantage to on-line accounts is if one of you are about to croak transfer all monies to other account, quick!" job sorted!

[parsnips]

[quote user="milkeybar kid"]Looking at this post on another forum and a number of replies that would imply a big ? mark on whats what.

Whilst in the UK we have been speaking with an advisor (financial) who suggested it is quite feasible and within the law to pay a special type of UK insurance (children usually pay it! who will inherit) that covers all within the EU, so that all inheritance taxes that are due are paid across the board by the insurance. When I get report I will post outcome. A piece of advice from our offshore bank said slightly tongue in cheek,- I suppose "an advantage to on-line accounts is if one of you are about to croak transfer all monies to other account, quick!" job sorted![/quote]

Hi,

     I assume you are french resident for tax purposes. It sounds like your financial advisor(or salesman ,as they are more accurately known) is trying to sell you an insurance-linked investment bond , possibly based in Luxembourg.

     These are perfectly respectable products , but when purchased via an agent can be expensive in up-front fees and commissions,and often have swingeing penalties for early withdrawals.. The bond is written" in trust "to avoid UK IHT, but if you die french resident that is irrelevant.

     As a french resident you have access to french Life Assurance plans which pay up to 152000€ tax-free to each beneficiary,(20% tax above that) and are offered without any entry fees by many respected companies.If you do get a full and detailed product description I am sure many on the forum would be interested to see it (and to comment).

     You will find exhaustive discussions of french life assurance in previous posts on this forum.

     As there is no inheritence tax between spouses, and each child has 156359€ tax-free allowance, unless you are very well-off, the possibility of quickly switching between on-line accounts is hardly relevant.