Dear fiscal advisers! I am due to inherit a substantial amount of shares in a company that is in difficulty. It urgently needs financial relief. And I of course am unhappy to have to pay death duties. Could I transfer my debt to the state in the form of death duties as a loan to the company in difficulties?
Although quite a few arrangements can be made with the receiver of revenue about death duties, I am not sure this is one of them. Should someone inherit shares in a business which needs relief, there are probably better ways to resolve the issue. The inheritance tax is payable in the hands of the beneificiary of the inheritance. Not in the hands of the corporate body from which shares are bequathed. The two are totally seperate and independent legal entities. But hey, try your luck with your friendly receiver of revenue!
