Reasons to invest
Tax efficiency
Relief from Inheritance Tax after only two years
Retain ownership and control
Lifetime control of, and access to, investment capital.
Choice of investment strategies
A variety of discretionary managed services focusing on wealth preservation.
Transparency
A commitment to full disclosure throughout the process is at the heart of our business.
Over 30 years in the industry
Our team has extensive experience in creating lasting legacies for investors.
Financial incentives
Low, transparent fees and uncapped returns.
About our services
Our Business Relief qualifying services provides you with the option to mitigate Inheritance Tax after two years – as opposed to waiting seven years to claim relief using trusts or gifts.
With our diverse range of estate planning solutions, we ensure that investors can retain complete control of their assets throughout their lifetime.
Our services are designed to provide Inheritance Tax freedom for individuals and business owners. This helping advisers to guide their clients on how to create a legacy for generations to come.
Learn more about Business Relief
Investing in Inheritance Tax Services carries risks and is not suitable for everyone,
click here for more information on the Risks of Investing.
Our services
Explore our range of estate planning solutions.
If you want to speak to a member of our team about these services, use the ‘chat’ button below.
The Stellar ITS
A discretionary managed service designed for investors who wish to leave a legacy that is free from Inheritance Tax.
Stellar Growth IHT Service
This service offers access to a portfolio of asset-backed business activities through creation of a privately owned limited company for each beneficiary.
Stellar AiM IHT Service
A discretionary managed portfolio that mitigates risk through a diversified selection of up to 40 companies listed on the Alternative Investment Market (AiM).
Stellar Business IHT Service
Business owners can access succession planning solutions either following a company sale, or as a means to invest excess company capital and maintain tax efficiency.
Stellar Bespoke IHT Service
Designed for sophisticated investors who prefer a tailored discretionary investment approach to improve tax-efficiency.
Our investment approach
Our methodology involves working in partnership with a diverse range of experienced sector specialists – generating investments across a variety of qualifying business activities, all of which can be underpinned by physical assets.
By securing an investor’s finances against a series of assets, we are able to deliver a more secure investment opportunity – not only meeting our investment mandate, but delivering tangible returns to an adviser’s clients.
Capital preservation is always at the core of our strategy, as we believe this helps to reduce risk – and the fewer the risks, the more protected the investment.
Learn more about our business activities
Frequently asked questions
What are the advantages of using BR over a trust?
Despite popular opinion, the tax advantages that a trust offers have been steadily reduced by successive Governments over the past few decades. In 2006, the Government announced reforms which meant that many assets that moved into trusts became subject to a 20% IHT levy. Not only that, in 2016, the government increased the income tax rate for dividends held in trusts and removed a 10% tax credit.
As a result, many advisers believe that families are going to lean towards a different approach to managing their inheritances.
As well as being able to obtain IHT relief up to five years faster than trusts, IHT planning using BR can also offer investors greater security and plenty of flexibility without taking away control from their estate.
Can BR be used with a Power of Attorney?
Yes, Business Relief (BR) investments allow the client and Power of Attorney to retain control of their capital and investments.
This is a distinct advantage over traditional IHT planning, such as gifts and trusts, which generally requires the agreement of the Court of Protection.
It may be that the Court does not agree that making lifetime gifts or placing assets into a trust is an appropriate strategy for the client, as this will involve the client losing control of their capital.
What is the Inheritance Tax threshold?
Inheritance Tax (IHT) is charged on the value of everything owned by your client after their death, in excess of the Nil-Rate Band (NRB) – which is a tax-free allowance, currently set at £325,000 per individual and £650,000 for married couples and civil partners.
Legislation introduced in 2016 offered qualifying estates an additional tax-free allowance known as the Residential Nil-Rate Band (RNRB), which was phased in over four years and now provides a further £175,000 per individual – on top of the standard NRB threshold. However, there are limitations on which estates are entitled to this additional threshold, and the relief is tapered for estates valued at over £2 million.
Any value in excess of the NRB, and the RNRB if relevant, is taxed at 40% – and the nature of this tax means that their beneficiaries are left to pay the bill. Added to this, rising house prices mean that more families than ever before are falling into the inheritance tax trap – which underlines the importance of careful inheritance tax planning.