Reorganising landed portfolio to maximise Inheritence Tax (IHT) relief
- To provide high level advice on the reorganisation of a 323 acre agricultural portfolio in private ownership.
- To appraise the wider agricultural portfolio and identify future letting opportunities.
- To negotiate a further Agricultural Holdings Act (AHA) surrender and facilitate the letting of a 223 acre holding to the next generation of farmers.
- To negotiate an agreement to a new agricultural tenant.
- An opportunity was devised to negotiate the retirement of an AHA tenancy to the mutual benefit of both landlord and tenant.
- Retirement settlement obtained, adding some land onto another agricultural holding to make the future of the holding more viable.
- The residual land from the original retirement has been let to a capable and hardworking local family who will continue to care for the land.
- Provided the landlord with a very valuable and immediate increase in his IHT relief, saving his estate well over £400,000 in IHT payments.
- Tenancy surrender and regrant negotiated, resulting in additional £500,000 in future IHT savings.
- In negotiating the new tenancy it was agreed to bring in the next generation of the family (a highly capable lady in her 30s) to secure the future of the family and the farm.
- The happy retirement of a long standing agricultural tenant .
- Maintenance of excellent landlord and tenant relationships.
- All for relatively modest professional fees.