Five AIM Stocks for Inheritance Tax ISA in 2023: What You Need to Know

An AIM ISA is a great way to invest in smaller, growing companies that are listed on the Alternative Investment Market (AIM). Not only can AIM shares offer the potential for higher returns, but they may also be exempt from inheritance tax. In this article, we’ll take a look at five AIM stocks that could be ideal for an inheritance tax ISA in 2023.

What is AIM?

AIM is a sub-market of the London Stock Exchange that was established in 1995 to help smaller, fast-growing companies raise capital. AIM allows these companies to issue shares to the public and trade them on the market. AIM has lower regulatory requirements than the main market, making it an attractive option for smaller companies.

Why Invest in AIM Stocks for an Inheritance Tax ISA?

Investing in AIM shares for an inheritance tax ISA can be a tax-efficient way to leave a legacy for your loved ones. Any shares held in an AIM ISA for at least two years may qualify for Business Property Relief (BPR), which can reduce or eliminate the amount of inheritance tax that would be due on those shares. The current inheritance tax rate is 40%, so this could be a significant savings.

Five AIM Stocks for Inheritance Tax ISA in 2023

Here are five AIM stocks that could be worth considering for an inheritance tax ISA in 2023:

  1. AB Dynamics (ABDP) – This company provides advanced testing systems for the automotive industry, including driving robots and other test equipment. Their products are used by major car manufacturers and motorsport teams around the world. ABDP has seen strong growth in recent years and could be poised for more in 2023.
  2. Alpha FX (AFX) – Alpha FX is a foreign exchange risk management company that provides services to corporate clients. The company has seen strong revenue growth in recent years and has a competitive advantage due to its technology and expertise.
  3. Anpario (ANP) – Anpario produces natural animal feed additives that are designed to promote animal health and improve performance. The company has a global presence and is well positioned to benefit from increasing demand for natural animal feed products.
  4. EKF Diagnostics (EKF) – EKF Diagnostics is a medical diagnostics company that produces tests for a range of conditions, including diabetes, anemia, and cancer. The company has seen strong revenue growth in recent years and could be well positioned for continued growth in 2023.
  5. M&C Saatchi (SAA) – M&C Saatchi is an advertising and marketing company that provides services to a range of clients around the world. The company has seen some challenges in recent years, but could be poised for a rebound in 2023.

Investing in AIM stocks can be a great way to potentially grow your wealth while also reducing the amount of inheritance tax that would be due on those shares.

As always, it’s important to conduct your own research and consider your own investment objectives before making any investment decisions.

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