Now that it seems we are on the other side of the COVID-19 pandemic, we can look back over the statistics and get a real idea of what was happening.
Despite what felt like the world coming to a halt, it was hard to grasp the reality of what was happening around us. That unfortunate reality has been highlighted by a report from the Office of National Statistics which says that over 800 doctors, nurses and other healthcare workers died of COVID-19 between the years of March 2020, when the pandemic first took hold of the UK, and February 2022.
To assist grieving families of those medics who lost their lives to COVID-19, HMRC introduced an inheritance tax exemption on their estates.
Despite this exemption for deceased medics being put in place to help grieving families, it is thought that there are many families who are still not aware of this.
As a result, families are failing to claim the tax break and may have paid unnecessary inheritance tax on their loved one’s estates.
Former cabinet minister, David Jones MP commented on the issue saying –
“It is essential that the Ministry of Defence and other employers should draw the attention of eligible families to [this exemption]. HMRC should extend the available period for tax refund claims in the case of service families.” (The Telegraph)
There has been some confusion regarding this exemption since it came to light. As families feel it should extend to those serving medics who die later on in life.
Those arguing this point say that health issues caused by COVID-19, in those who caught the virus, could one day be a contributing factor in a person’s death, and if that is the case then the tax exemption should extend to those too.
Associate Partner, Ashley Marshall commented –
“The laws on inheritance tax are highly complex and are subject to change so I would always advise you speak to a specialist during the probate process to ensure you are complying with the law but also that you are not missing out any potential tax breaks due to the circumstances.”
If your loved one has passed away, Farleys’ private client team is available to advise on the probate process and inheritance tax matters. We have wealth of experience to assist you during this difficult time. Get in touch with the team today to discuss how we can help. Call 0845 287 0939, contact us by email, or use the online chat below.