When making your Will you can specify any gifts of money. These are normally:
- A basic cash gift
- A conditional cash gift (You may want to leave a gift of money to a young person however may not want that person to receive the gift until they have reached a certain age for example 18)
- A Charity or Community Amateur Sports Club cash gift (Many charities are now encouraging cash gifts to be left by you for them)
If you leave a gift to a Charity or Community Amateur Sports Club (CASC), its value will be deducted from your estate before any Inheritance Tax is calculated.
If your estate is liable to Inheritance Tax (we’ll touch on this soon), you could reduce the amount that is due by choosing to give money to a Charity. You can either leave a Pecuniary Legacy (fixed sum), or, part or all of your estate once other gifts have been distributed. This is known as a Residuary Legacy.