Present from inlaw - does it need to be declared?

aquariangrrl

My mother-in-law who does not live in the UK has given us some money (1k) as a present for our son. She has given us it in cash but I want to pay it into the bank as it doesn't feel safe here in cash. If we pay it into our bank account do we have to declare it or anything or pay tax on it? She is not a UK citizen and has never lived here.

Pumpkinface_2

No, there is nothing you need to do.

trevormax

As it is the grandparents who have given the money, there will be no problems. However, if it were you who gave them the money then you would be liable to tax on any interest if more than £100 interest is earned in the tax year.

there is a web page on direct.gov here explaining - http://www.direct.gov.uk/en/MoneyTaxAndBenefits/ManagingMoney/PlanningYourPersonalFinances/DG_10014128

Cook_County

Just so you know, only larger amounts of cash brought to the UK need to be declared to HMRC:

http://www.direct.gov.uk/en/TravelAndTransport/TravellingAbroad/BringinggoodsorcashintotheUK/DG_173289