Prince Harry set to avoid inheritance tax on £7million fortune

ok.co.uk:

Prince Harry is reportedly set to bypass inheritance tax on a bumper £7million legacy. Gifted on his milestone 40th birthday last month, tax specialists believe he won’t have to fork out for taxes.

It’s part of the late Queen Mother’s hefty £19million trust fund, which could boost Harry’s wealth by around £7million. Financial experts at Stocklytics explain that the Royals have sidestepped the usual tax stipulations due to the clever structuring of the Queen Mother's estate and her impressive longevity.

Experts from the firm commented: "With Prince Harry set to receive the final instalment of the Queen Mother's trust fund, valued at £19 million, many Brits may be asking how much inheritance tax he'll pay - especially as the latest judicial reviews have cost the taxpayer £500,000 each." They added: "However, due to the way the Queen Mother's estate was planned and how long she lived, it is likely HMRC will not receive a penny in inheritance tax." The financial experts elaborated: "According to current regulations, inheritance tax only applies to a trust if it was set up within seven years of the individual's death.

However, since the Queen Mother died in 2002, this trust would no longer be subject to inheritance tax." They surmised that had she passed away within that critical seven-year window, the tax bill could have reached up to £7.47 million.