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Giving money tax free as a gift?
Maruka
Posts: 18 Forumite
in Cutting tax
Hi folks,
To cut a long story short - someone who gave me £3000 at the beginning of March this year would like to give me some more money. It's nothing dodgy - I'm a recently qualified student and it's simply that they have the money and I don't! But I know there's a limit to how much can be given without worrying about tax; I also presume there's some kind of time consideration to factor in (I'm hoping that it works on tax years, because I'm presuming that means because it was before April we're in a new tax year...?)
Is anyone able to tell me how this this works, i.e. if they are able to give me any more money and if so how much, without getting taxed on it.
Thanks!
To cut a long story short - someone who gave me £3000 at the beginning of March this year would like to give me some more money. It's nothing dodgy - I'm a recently qualified student and it's simply that they have the money and I don't! But I know there's a limit to how much can be given without worrying about tax; I also presume there's some kind of time consideration to factor in (I'm hoping that it works on tax years, because I'm presuming that means because it was before April we're in a new tax year...?)
Is anyone able to tell me how this this works, i.e. if they are able to give me any more money and if so how much, without getting taxed on it.
Thanks!
0
Comments
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All gifts are tax free.
The only problem would come if they died in the next 7 years, then inheritance tax may become due on the gift.0 -
But you wouldn't be liable for the IHT - it would be the estate of the donor. Your benefactor needs to take professional advice.£705,000 raised by client groups in the past 18 mths :beer:0
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If it's £3000 it's within the IHT exemptions anyway - as long as they haven't been giving similar gifts to someone else as well.0
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Cheers folks - there's no concern about inheritance task (I hope!) because the donor is young, fit and healthy!0
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