Wealthy individuals sitting on large pension pots face a punishing combined tax burden of up to 67 per cent when unused pensions fall within the scope of inheritance tax (IHT) from April 2027, Claritas Tax has warned. The 67 per cent figure is based on the 40 per cent inheritance tax charge pplied to the pension's value, followed by income tax at 45 per cent levied on what remains. More Britons are set to become liable for inheritance tax | GETTYAdam Keates, an associate partner at Claritas Tax, said: "There is no silver bullet for wealthy individuals with well-funded pensions." Drawing down pension funds during one's lifetime would trigger an immediate income tax charge, but Mr Keates suggested this route could still prove preferable. He added: "That could still be attractive compared with a potential combined tax exposure of up to 67 per cent at death."