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Estate Planning and Inheritance Tax: Why timelines matter

Effective estate planning isn’t just about having the right documents in place – it’s also about acting within the right timeframes. Many important tax reliefs, protections, and legal rights depend on strict deadlines. Missing them can create unnecessary cost, complexity, or even disputes.

At S4 Financial, we help ensure your estate planning is structured, compliant, and fully optimised around these key dates.

Key timelines in Estate Planning (UK)

*Glossary on page 3 for more information

PeriodWhat it relates to
28–30 daysStandard survivorship period commonly included in Wills
60 daysCapital Gains Tax (CGT) reporting deadline for UK residential property disposals
90 daysDeadline to register a Trust on HMRC’s Trust Registration Service
6 monthsTime limit to bring a claim under the Inheritance (Provision for Family & Dependents) Act 1975 from date of Grant of Probate
10 monthsCommonly advised wait before distributing estate assets (including claim window + buffer)
2 yearsRequired ownership period for Agricultural Property Relief (APR) / Business Property Relief (BPR) qualifying assets
2 yearsTimeframe for post-death Deeds of Variation and Appointments
3 yearsPoint at which Inheritance Tax (IHT) taper relief begins if the donor dies within 7 years of making a gift
7 yearsLifetime gifting period for Potentially Exempt Transfers (PETs)
10 yearsAnniversary tax charges for Relevant Property Trusts
14 years“Backward shadow” rules affecting certain lifetime transfers
18 yearsMinimum age to make a Will or Lasting Power of Attorney (LPA), or to act as an attorney

Why these timelines matter

Avoid costly mistakes: Missing key dates and deadlines can lead to financial penalties or the loss of valuable tax reliefs
Protect your wishes: Clear deadlines help executors and trustees administer your estate as intended. Timely actions prevent delays, errors, or legal complications that could otherwise prevent your assets from reaching the people or causes you care about
Improve tax efficiency: Timely planning ensures exemptions and reliefs are used to their fullest
Protect your assets across generations: Properly planned timing safeguards your wealth for future generations
Reduce stress and disputes for loved ones: Estate administration can be complex, especially if deadlines are missed. Following key timelines reduces the potential for disagreements.

Common pitfalls to avoid

Many estate challenges arise from avoidable errors. Common issues include:

– Not reviewing a Will after major life changes
– Failing to document lifetime gifts properly
– Missing key IHT relief opportunities
– Overlooking pension and death benefit nominations
– Relying on outdated trust arrangements
– Not coordinating planning between spouses or civil partners.

Regular reviews help keep everything aligned and compliant.

Keeping up with legislative change

Estate planning legislation evolves regularly, particularly around pensions, trusts, property, and tax allowances. We actively monitor emerging rules, consultations, and reforms to ensure your planning remains effective and compliant.

Your next steps

Estate planning is not just about documents – it’s about making the right decisions at the right time. Whether you’re planning ahead, reviewing an existing estate plan, or handling a loved one’s estate, timely advice makes all the difference.

If you would like to ensure your arrangements are structured efficiently and are fully aligned with these key timelines, we are here to help. Get in touch today for tailored estate planning and tax guidance.

Get in touch

T: 01276 34932 | E: hello@s4financial.co.uk

The Financial Conduct Authority does not regulate estate planning, Will writing, trusts or tax advice. Tax rules and legislation can change, and the value of any tax benefits depends on your personal circumstances. This document is for information purposes only and does not constitute financial or legal advice. Professional advice should be sought before taking any action.

Glossary of key terms

Key termDefinition
Standard survivorship period  A clause often included in a Will that requires a beneficiary to survive the person who has died by a set number of days (commonly 28–30).
If the beneficiary does not outlive them for this minimum period, the gift may pass to someone else instead.
Capital Gains TaxA tax on the profit (on the gain) made when you sell or dispose of an asset, such as property, investments, or certain valuables, that has increased in value.
Inheritance (Provision for Family & Dependants) Act 1975A law that allows certain individuals, such as spouses, partners, children, or dependants, to make a claim against an estate if they believe they have not been left “reasonable financial provision.”
Agricultural Property Relief (APR)  A relief that can reduce the value of qualifying agricultural property from an Inheritance Tax (IHT) calculation by up to 100%.
It applies to farmland, farm buildings, and sometimes farmhouses, provided certain ownership and use conditions are met.
Business Property Relief (BPR)An Inheritance Tax relief that can reduce the value of qualifying business assets by up to 100% when calculating IHT.
Deeds of VariationA legal document that allows beneficiaries to change the distribution of an estate after someone has died.
It can be used to redirect assets to other individuals, trusts, or charities, and, if completed within two years of death, can be treated as if the deceased made the change themselves for tax purposes.
PET (Potentially Exempt Transfer)A lifetime gift that becomes free of Inheritance Tax if the donor survives for seven years after making the gift.
If the donor dies within seven years, the gift may become taxable, although taper relief can reduce the tax after three years.
Relevant Property TrustA type of trust that is not part of someone’s estate and therefore falls under a specific tax regime.
These trusts are subject to periodic 10-year anniversary charges and exit charges when assets leave the trust.
“Backward shadow” rulesInformal term for IHT rules that look back up to 14 years when assessing certain transfers.
It prevents individuals from “stacking” gifts to avoid charges.
Lasting Power of AttorneyA legal document that lets you appoint someone you trust to make decisions for you if you become unable to do so.
There are two types: Health & Welfare – decisions about care and medical treatment. Property & Financial Affairs – decisions about money, bills, and property.

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