Octopus AIM Inheritance Tax Service

Helping investors pass on more of their wealth free from inheritance tax while targeting growth

Octopus AIM Inheritance Tax Service

Helping investors pass on more of their wealth free from inheritance tax while targeting growth

Octopus AIM Inheritance Tax Service aims to help investors leave more wealth to their loved ones free from inheritance tax. We invest in a portfolio of companies listed on the Alternative Investment Market (AIM) that we expect to qualify for Business Property Relief. As long as shares have been held for at least two years and are still held when the investor dies, they can be left to their beneficiaries free from inheritance tax.

Reasons to invest

Reasons to invest

Pass on more wealth

The Octopus AIM Inheritance Tax ISA invests in companies that are expected to qualify for relief from inheritance tax. It can be an effective way to reduce or potentially even eliminate an inheritance tax bill that a family may otherwise have to pay on the deceased’s estate.

Two-year qualifying period

Investments should become zero-rated for inheritance tax after just two years.

A highly experienced investment team

The founding members of our Smaller Companies team have worked together for well over a decade, and now manage around £1 billion on behalf of 15,000 investors.

Access

Investors can ask us to sell shares at any time, although withdrawals can’t be guaranteed. We can usually sell shares within a week, though in some instances it could take significantly longer.

Potential for growth and dividends

The Octopus AIM Inheritance Tax Service invests in a portfolio of carefully-chosen companies listed on AIM, the world’s most successful market for fast-growing smaller companies.

Key risks

Risks to bear in mind

Capital at risk

The value of investments, and any income from it, can fall as well as rise and investors may not get back the full amount they put in.

Tax treatment may change

The service is based on current tax legislation which could change in the future. Tax relief depends on the companies we invest in maintaining BPR-qualifying status. Tax treatment depends on individual circumstances and may change in the future.

The investment may be volatile and difficult to sell

The shares of AIM-listed companies could fall or rise in value more than shares listed on the main market of the London Stock Exchange. They may also be harder to sell.

BPR is assessed on a case-by-case basis

We cannot guarantee that the investments we make will qualify for BPR in every case in the future. HMRC will only conduct a BPR assessment after the death of an investor, to confirm whether the companies invested in qualify for BPR at that time.

Learn more about our service

Hear more about investing in AIM companies

Our inheritance tax solutions have helped thousands of people leave more wealth behind for those they love.

Our guide to inheritance tax

Take a look at our guide to untangling inheritance tax, which explains common planning strategies in clear, easy-to-follow language.

Where we invest

The Octopus AIM Inheritance Tax Service invests in a diversified portfolio of smaller companies listed on the Alternative Investment Market (AIM) and targets growth. We select companies that are expected to qualify for BPR , so the shares should become exempt from inheritance tax after just two years, provided they are still held.

Portfolio companies

Who could benefit?

Inheritance tax is no longer a problem just for the very wealthy. Our inheritance tax planning scenarios show how different types of clients can benefit from inheritance tax planning.

Fill in your client’s details and we’ll email you an illustration straight away.

Try our inheritance tax calculator

Check the potential inheritance tax due on an estate, including the potential impact of the residence nil-rate band.

Fees and charges

Fees and charges

Octopus initial charge: 2.5%
Initial charge to adviser: Agreed with investor
Annual management charge: (paid quarterly) 1.5% + VAT per annum
Ongoing fee to your adviser: (paid quarterly) Agreed with investor

For a detailed overview of all charges please view the product brochure.

Fees and charges

Please consult the product brochure for a full overview of all fees and charges.

Key documents

Key documents

Octopus AIM Inheritance Tax Service brochureDownload
Octopus AIM Inheritance Tax Service factsheetDownload
Octopus Inheritance Tax products terms and conditionsDownload
Octopus AIM Inheritance Tax Service application formDownload
Octopus AIM Inheritance Tax Service/ISA client suitability questionnaireDownload
Octopus AIM Inheritance Tax Service product overviewDownload
Octopus AIM Inheritance Tax ISA transfer formDownload
Octopus AIM Inheritance Tax ISA top up formDownload

Key documents

Octopus AIM Inheritance Tax Service brochureDownload
Octopus Inheritance Tax products terms and conditionsDownload
Octopus Inheritance Tax Service factsheetDownload
Octopus AIM Inheritance Tax Service application formDownload
Octopus AIM Inheritance Tax ISA transfer FormDownload
Octopus AIM Inheritance Tax ISA top up formDownload
How to invest

Ways to invest

Choose how to invest based on the type of investment.

New investment

Complete an online application to start a new investment.

Power of Attorney investment

If there’s a registered Power of Attorney in place, download the application form to make an investment.

How to invest

If you’re ready to invest right away, download the application form via the button below.

We’re here to support you

If you’ve got a question about any of our products or services, please get in touch.

Contact our team

Got a question?
Call us at 0800 316 2067