Unmarried couples living together in UK see laws that could massively impact them
Ricky Gervais has come out to say that the UK laws on marriage mean he will now marry long-term partner Jane Fallon, even though he was staunchly against it not too long ago.
That’s because he wants to avoid a hefty inheritance tax bill after his death thanks to the controversial tax percentage.
The 65 year olds have been together since 1982 and starting living with one another just two years later.
However, they never married or had children – which is exactly how they wanted to keep things.
Advert
But the comedian has now spoken out about why he’s choosing to tie the knot with producer Jane.
In an interview with Saga Magazine, which was published on 18 August, he was asked if avoiding inheritance tax is any reason for him to marry his partner.
To this, he said...well, yes.
The comedian said, per The Times: “It is. And that will be the reason I marry. We haven’t done it yet.
“But if it wasn’t for [tax]… why? It’s mad. How more married can you be? We share all our money, we’ve been living together for 40 years. Some marriages don’t last a year.”
He added: “It’s horrible isn’t it? I’ve got to get around to marrying, before I die.”
Martin Lewis has since issued a warning on the way Inheritance Tax has changed, and what it means for those who are not legally recognised as a couple.
The financial guru often preaches about the benefits of marriage, because of the 'legal and tax benefits'.
"I thought it might be worth explaining to you what the benefit of marriage within the inheritance tax world is, and it's actually pretty substantial," he explained on an episode of The Martin Lewis Podcast in June. "When we talk about marriage, it applies to anyone who is married or who has a legal civil partnership."
For married couples, assets left to the surviving spouse aren't taxed, nor is the inheritance tax allowance passed on to the deceased person's partner and children.
"Any assets left to your spouse is automatically exempt from inheritance tax," Lewis said.
"When you die, any money, any property, any assets left to your spouse is automatically exempt from inheritance tax.
"An even more important inheritance tax boon of marriage is you can pass on your unused inheritance tax balance to your spouse. So in plain speak you don't pay inheritance tax on the first £325,000 you leave when you die."
In the UK, Inheritance Tax is charged at 40 per cent on the property, possessions and money of someone who has died if they are worth more than £325,000.
According to The Times, Gervais is worth around $141m.
But as unmarried couples in the UK are not automatically entitled to benefit from the inheritance tax break, it would mean that his partner would get less if he passed before her.
This comes off the back of some reforms the UK government is set to bring in.
Which could see some significant changes to the rules around unmarried couples residing in the same home.
The consultation on new laws hopes to bring better financial rights to unmarried couples when a relationship comes to an end, or if a partner passes away before setting up a will.
With the aim of providing women a lot more security, especially in cases of domestic abuse, it’s a great thing to see.
Deputy Prime Minister, David Lammy, said of the new laws: "When a relationship comes to an end, each partner should have the support and certainty they need to rebuild their life.
"We're launching this consultation to make sure our new family law builds a fair system that offers the most vulnerable protection in the event of a breakup, and at a time where the country is facing cost of living pressures.
“Whether you’ve been left bereaved by the sudden and unexpected death of a partner, or escaped horrific domestic abuse, our laws should work to protect you.
"These reforms strike an important balance between tradition and modernity. I’m determined that our justice system should work for everyone who needs it.”
Topics: Money, Ricky Gervais, UK News, Sex and Relationships
Britt Jones