House sale lump sum

cadace

I am shortly going to come into a sum of money approx £80,000 from the sale of a house. My questions are these. Do I need to tell the tax man and which bank would be the best to deposit the money in?

Preferably with instant access as I will be giving a fair portion of it to members of my family. Please answers in basic laymans terms.

Ta Tony:beer:

MortgageMamma

Is it your house that is being sold therefore your own money?

MortgageMamma

Is it your main residence>

manhattan

cadace wrote:

which bank would be the best to deposit the money in?

Preferably with instant access as I will be giving a fair portion of it to members of my family. Please answers in basic laymans terms.

Ta Tony:beer:

https://www.ingdirect.co.uk

no catches high interest account.

cadace

No it is a friends house who does not wish to keep the money for their own reasons. Does that help?

BobProperty

cadace wrote:

No it is a friends house who does not wish to keep the money for their own reasons. Does that help?

It helps it sound dodgy. Is the friend doing this to avoid paying their bills, soon to be ex-partner, taxman, OR, or whoever...? Are they actually giving it away? I think it is the friend who has the obligation with the taxman, if an obligation exists.

MortgageMamma

Is your friend declaring themselves bancrupt? if so I think there are rules about disposing of assets prior to bancruptcy. even if its before the bancruptcy petition its a bit dodgy.

Same with people divorcing, if opposition even get a sniff of whats going on they will freeze assets and there can be severe penalties.

If its because your friends going into a nursing home and the house will be sold for care bills becareful proceeding are there are specific rules around this to,

Sorry it's impossible to advise without knowing specifics, bt if you are going to be gifted money in any way shape or form its a good idea to check the tax implications with a qualified tax specialist.

Remember whatever you tell a professional will remain confidential.

clutton_2

""whatever you tell a professional will remain confidential""

i think this may not be the case any more - i recall a couple of years ago being told that a piece of legislation included clauses which made it compulsory on professionals (such as accountants, lawyers etc) to pass on to the relevant authorities any information which they thought meant that their client was invoved in criminal activity - AND were also under compulsion to NOT disclose this to the client.

George Orwell would indeed to saying "told you so"

MortgageMamma

clutton wrote:

""whatever you tell a professional will remain confidential""

i think this may not be the case any more - i recall a couple of years ago being told that a piece of legislation included clauses which made it compulsory on professionals (such as accountants, lawyers etc) to pass on to the relevant authorities any information which they thought meant that their client was invoved in criminal activity - AND were also under compulsion to NOT disclose this to the client.

George Orwell would indeed to saying "told you so"

You are correct, but informing a client who is suspected of something unsavoury prior to reporting suspicious activity is called whistle blowing, so in typing what you did in your post you have fired warning shots at something or someone that could well be criminal in some shape or form. idiot.

quoting rules is one thing but understanding the implications of shooting your mouth off is something else!

Ps - if you did that in a professional capacity you could be locked up for it.

jamesd

MortgageMamma wrote:

Remember whatever you tell a professional will remain confidential.

It seems unhelpful to give this assurance in the circumstances. At best, it's a statement you apparently believe is false.

It would also be unhelpful to suggest that questions on message boards in general are anonymous, in view of the likely retention of records more than sufficient to identify a poster.

If anyone is considering approaching a professional and has any doubts at all about the legality of their prospective course of action, it is useful to ask one professional concerned about their professional responsibilities first, then go to another for the advice needed about whether the contemplated course is legal.

Fortunately in this case all is moot, since the poster is talking about a prospective transaction, not one that has happened. This appears to make it safe to advise against carrying out the transaction.

jamesd

cadace, first thing to do is to ensure that the transaction is legal. If it's not, you could be prosecuted for your role in concealing the activity.

If the activity is illegal, there is no suitable bank, building society or other financial institution to use for the money, since there are both transaction value reporting thresholds and a requirement to report suspicious transactions below that threshold. You may find this report from the Joint Money Laundering Steering Group useful in educating yourself about the extent of activity in tracking money to detect improper transactions. It appears unlikely that the activity would be successfully concealed if it is illegal, so I suggest not doing it unless it is legal.

Assuming it is legal, your next step should be saying more about your financial plans, so people can give informed suggestions based on the degree of risk you're willing to accept to potentially increase your returns, how rapid access to the money must be and so on.

If you are unsure whether it is legal or not, as appears to be the case, I suggest seeking professional advice on the matter, since the consequences for you could be severe. I suggest that in doing so you make it very clear that you are seeking advice about a possible future activity (both by you and the source of the money) and want to know whether it is wise or unwise to proceed.

If you're aware of a crime that has already happened, or which will not be stopped by prudent advice that it is a crime and shouldn't be done, your obligations are clear: the appropriate bodies will be interested in your report.