With David Beckham being lauded for his savvy tax dodging you may be forgiven for thinking that famous footballers have a monopoly on tax avoidance. Not so.
Also reported today is the news that artist Lucian Freud, who died in July 2011, bequeathed artworks by Corot and Degas in his will to the state under the government's 'acceptance in lieu' (AiL) scheme. Under the scheme, people can offer items of cultural and historical importance to the state in full or part payment of their inheritance tax, capital transfer tax or estate duty. The scheme is said to offer clear tax benefits to owners as items are generally worth 17 percent more if offered in lieu of tax than if sold on the open market at the same price, because tax must be paid on the amount an object is sold for. Once accepted, the works are distributed to museums, galleries and public archival depositories throughout the UK. Thus, in this instance, the Corot works are said to be going to the National Gallery, while the Degas works are to be displayed at The Courtauld Gallery.
So, you don't have to be a famous footballer to get a tax break....being a famous artist is just as good.
More details of the AiL scheme can be found here.
Source: BBC, 4 February 2013