Lump sum allowance & death benefits

Hi, I have a question regarding how the lump sum allowance works with respect to death benefits. If I die I have nominated the following beneficiaries (but I believe all are discretionary i.e. trustees have final decision): 1. Workplace pension - spouse (I understand they can choose whether to receive lump sum or drawdown/installments) 2. Death in service - spouse (has to be a lump sum) 3. Death in service for dependents (2 children under 18, has to be a lump sum) I have the following questions 1. If I die, does the lump sum allowance apply to all of three items above? 2. If this is the case, and the total value of these items exceeds £1.073m, I understand that the beneficiaries would have to pay income tax at their marginal rate. As there are three beneficiaries nominated, how would the lump sum allowance be applied to their respective benefits? 3. Assuming all three items are discretionary, am I correct in thinking they are not liable for IHT? Thanks

Hi

We cannot comment on scenarios, we can only provide general information/guidance in this forum.  
For an answer to a detailed question of this nature, you would need to contact our self assesment helpline on 0300 200 3310 or seek professional advice.

Thank you

@Meemoh Like you I am struggling to find an answer to similar questions about Lump Sum and Death Benefit Allowance applicability. I started my own thread on the subject but was told to contact the HMRC IHT Team, which I did. They told me to contact the HMRC Pension Team (initially they wrongly gave me the number for the State Pension team, which was frustrating). I have now spoken to the HMRC Pension Team and am waiting for a call back from one of their experts. I initially tried the HMRC self assessment helpline but they were no help whatsoever and couldn't even suggest who else to contact. Like you, I was also given the suggestion 'to seek professional advice'! Amusingly, this infers that HMRC are not 'professional'. Did you find an answer to your questions?