Murray Beith Murray LLP is a leading Scottish private client law firm.
For 175 years we have specialised in meeting the legal, financial and administrative needs of individuals and families, family trusts, charities and private companies.
When you grow old, you will usually want to see out your days in your own home with your faculties still intact. Regrettably, some older people will spend their last days as a resident in a care home. In fact, in Scotland, as of 31 March 2022 (the latest release of these statistics), there were 30,552 older people who were residents in care homes for adults.
It would be fair to say that solicitors who deal with estates sometimes need to spend time trying to discover whether someone who has died, made a Will whilst they were alive. Clients who make a Will should be applauded. However, having done that, it is important to decide where the Will should be stored and who should know about it.
Power of Attorney (“POA”) is a legal document which appoints one or more people (known as attorneys) to take actions or make decisions on your behalf. You must be over the age of 16 and capable of making your own decisions to be able to grant a POA in Scotland. In England, you must be over the age of 18 to put in place a POA. Individuals can choose to grant POAs for continuing (financial) and/or welfare matters, often combining the two into one deed. A similar regime operates in England and Wales, whereby POAs are known as Lasting Powers of Attorneys (“LPAs”) and individuals can appoint attorneys to act in relation to their financial and/or health affairs.
Inheritance Tax (IHT) planning is key to ensuring your loved ones keep as much of your estate as possible after you die. There are a variety of ways to mitigate against the effects of IHT and using a Will is just one of them. The simple answer is yes, you can avoid Inheritance Tax with a Will. Below we will look at some of the options available to you. Of course, IHT is only a problem if your estate exceeds £325,000.
A properly drafted Power of Attorney allows you to make provision in advance for the possibility that, at some stage, you require somebody else to deal with your financial or welfare affairs. However, it is important to understand what powers an attorney has under a Power of Attorney, and their limitations.
