Paying bills & Tax

dv36114

Hi
If my parents pay my stamp duty or pay off a loan for me would it be classed as gift giving and therefore liable for Inheritance Tax?

Thanks in advance

jem16

Only if they die within 7 years and their estate is subject to IHT. There is nothing to pay immediately.

CLAPTON

depends upon how much and other financial information

each of your parent can give away 3k a year without it being potentially liable to IHT and they can carry over last years unused allowance

so if they gave nothing away last year then each could give you 6k so that's 12k in total

dv36114

Thanks Guys - was not sure if it was classed as gift giving but will take it into account.