The Office for Tax Simplification (OTS) has published a report on 'Simplifying the design of Inheritance Tax', making a number of recommendations to Government.
Iain McCluskey, PwC tax partner, commented:
"It is pleasing to see the OTS focus on simplifying Inheritance Tax. Inheritance Tax raises relatively modest tax revenue, yet it is currently very complex and therefore poorly understood. The OTS makes a number of welcome recommendations to improve the understanding of Inheritance Tax, including simplifying how lifetime gifts are treated. We hope that the Government accepts many of these sensible recommendations.
"The report deliberately does not tackle wider reform of Inheritance Tax, but the question of whether IHT should be replaced with a more comprehensive wealth tax is unlikely to go away soon. The UK Government needs to grapple with addressing inequality, a rapidly evolving labour market, and increasing spending demands in areas such as health, education and social care. The role of wealth taxes in addressing those issues will be a key part of the debate."
At PwC, our purpose is to build trust in society and solve important problems. We’re a network of firms in 158 countries with over 250,000 people who are committed to delivering quality in assurance, advisory and tax services. Find out more and tell us what matters to you by visiting us at www.pwc.com.
PwC refers to the PwC network and/or one or more of its member firms, each of which is a separate legal entity. Please see www.pwc.com/structure for further details.
© 2019 PwC. All rights reserved