From April 2027, pensions will be included as part of your estate when calculating a potential inheritance tax liability – meaning more families will face a tax bill. Help with inheritance tax Our money guidance team has decades of experience in inheritance tax and estate planning. Unused pensions are currently excluded when the value of your estate is calculated to determine whether inheritance tax is payable. Concerns have been raised about the prospect of ‘double taxation’, where pension funds could be subject to both income tax and inheritance tax, leaving beneficiaries paying an effective marginal tax rate of up to 64%. Beneficiaries will then be eligible for a statutory deduction, meaning they'll only pay income tax on the remaining amount after inheritance tax has been settled.