It is expected that George Osborne, British politician and Chancellor of the Exchequer, will announce in April an end to the “death tax” for drawdown pensions passed on as inheritance after the accountholder dies. The new plan will abolish the current marginal rate tax if the accountholder dies before reaching age 75 and will reduce the taxes from 55% to the marginal income tax rate if the accountholder is over 75-years-old at death. The new plan, which is intended to assist with economic growth, is planned to be announced at the Conservative Party conference in Birmingham prior to May elections.
See Peter Dominiczak, George Osborne Scraps the ‘Death Tax’, The Telegraph, Sept. 28, 2014.
Special thanks to Joel Dobris (Professor of Law, UC Davis School of Law) for bringing this article to my attention.
