Sector urged to respond to legacy consultation

Geraldine Kendall, 27.06.2011
HMRC holding consultation into new charitable legacy policies
The Department for Culture, Media and Sport (DCMS) is urging representatives from the cultural and heritage sectors to respond to a HM Revenue & Customs (HMRC) consultation into changes designed to incentivise charitable legacies.
 
As part of a general drive to boost philanthropic giving, the government announced plans in the last budget to introduce a lower rate of inheritance tax in cases where people leave a charitable legacy of 10% or more of their estate when they die.

The 10% charitable legacy will be calculated on the value of the estate after deducting inheritance tax reliefs and exemptions, and applies to deaths on or after 6 April 2012.

HMRC intends the consultation to inform aspects of the policy detail that are not yet ironed out and how the policy may be best implemented. 

Groups and individuals with an interest in the area are invited to share their views on a consultation document available online. Respondents can also set up meetings with the consultation team to discuss technical aspects of the policy.

Keith Nicholl, head of philanthropy and fundraising at the DCMS, said: "DCMS ministers believe there is significant potential for the UK culture and heritage sectors to benefit from higher levels of legacy giving. I would encourage you to respond to the consultation as you see fit."

Maurice Davies, the Museums Association's head of policy, said the change would be beneficial to the museum sector. He said: "It sounds like a good proposal that should encourage more legacies, which many museums will welcome."

The closing date for responses is 31 August 2011.

Click here to read the consultation document

Responses should be emailed to ihtandtrustsconsult.car@hmrc.gsi.gov.uk, or posted to:
"Consultation on the IHT incentive for charitable legacies"
Rooms G45 - G48
100, Parliament Street
London, SW1A 2BQ


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