Q. My wife and I are writing our wills, but have read some articles indicating that wills can be challenged in the court, so is there any point?
A. Whilst it is true that some wills have been challenged in the courts, this is still quite a rare occurrence, and unless your wishes match exactly the intestacy rules applicable if you die without a will, it is definitely worth the relatively minor expense. Many of the wills which are successfully challenged are in cases where different members of the family are treated differently, people are excluded, or where a home made will has been used. I would recommend using a good solicitor, preferably a specialist who is a member of STEP, the Society of Trust and Estate Practitioners, who will be aware of the pitfalls and can make sure your wishes can best be protected when the time comes.
Q. I seem to recall that personal allowance increases were quite a big manifesto promise. Are the government on target to achieve their promises?
A. Everyone who pays tax will benefit from the higher personal allowance (the amount you can earn each year before paying tax) announced in the Budget. For 2016-17 the allowance is £11,000 and it will rise by a further £500 in 2017-18, on track for Mr Osborne’s promise that it would increase to £12,500 in the current Parliament. The higher rate income tax threshold above which the 40% rate is payable rises modestly to £43,000 for 2016-17 but Mr Osborne announced a bigger increase to £45,000 in 2017-18.
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