The Octopus Enhanced Discounted Gift Solution

The Octopus Enhanced Discounted Gift Solution uniquely combines the immediate tax benefits of a Discounted Gift Trust (DGT) with our established lower risk Business Property Relief (BPR) product, Octopus ITS.

It offers a wide range of clients with different circumstances, a faster and more flexible solution to inheritance tax mitigation.

Even clients older than 90, who do not qualify for a DGT, can benefit from the Octopus ITS portion of this solution.

For more information on Octopus ITS:

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Documents

EDGS Brochure

EDGS Application Form

EDGS Medical Questionnaire

Get in Touch

Please call us on
0800 316 2349
or contact us online.

How it Works

An investor effectively splits their investment into two ‘pots'. The first is designed to maximise IHT relief on Day One; the second is designed to move the rest of the investment outside their estate in two years, using BPR.

The size of each pot is determined by the investor's forecasted life expectancy and annual income requirement. Based upon these factors, the EDGS will allocate the required portion of their overall investment into Pot A (a specialised discretionary DGT) which provides the lifetime income and the remaining assets into Pot B (Octopus ITS) which delivers IHT relief on the remainder in two years.

Benefits

The Octopus Enhanced Discounted Gift Solution offers a number of benefits over traditional inheritance tax solutions:

Maximises Day One IHT relief
Fastest 100% IHT relief solution
Greater flexibility over the investment
Access to and control over the investment
A focus on capital preservation*

*Both the DGT and Octopus ITS invest in the same portfolio of companies that use insurance and deal structure to provide a high degree of capital preservation.

Online Discount Calculator

Our easy-to-use tool allows you to estimate the split between the two investment pots (the DGT and Octopus ITS), based upon your age and required income.

It should be noted that money held in the DGT pot must be drawn at the agreed rate stated in your EDGS application. Also, as income is drawn periodically from the DGT it returns to your estate, so any still in the estate at time of death is subject to inheritance tax.

Discount Calculator

Please remember that the value of an investment in this product may fall as well as rise and an investor may not get back the full amount invested. Tax rules and regulations are subject to change. Please note that there is no guarantee that the 3% targeted return will be achieved. This investment is designed to be held for the medium to long term.