EDGS Discount Calculator

The Enhanced Discounted Gift Solution splits an investor's money 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.

This calculator accounts for an investor's forecasted life expectancy and their annual income requirement. Based upon these factors, it estimates 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.

Important Information

This calculator is provided for indicative purposes only and assumes good health of a potential investor. It takes into account the age of the client, size of investment and amount and frequency of the retained income during the settlor's lifetime. This figure may differ from the estimate provided after medical underwriting has been completed. The information provided is based on Octopus' understanding of HMRC practice, inheritance tax law and appropriate actuarial standards as at 01.06.2009 and is subject to change. Octopus can accept no liability for any estimates provided. Any estimate may be subject to challenge by HMRC.

EDGS Discount Calculator

Settlor information Client name or ref Client age Sex

Investment Investment (£)

Reversions Income per year (£) Reversions frequency