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IHT - How much can be transferred

Just trying to confirm my understanding of the Revenue's rules around IHT having looked at some of the other posts on this forum.

When my dad died, my mum then got the whole of his IHT allowance giving her £650000. As the total is estate is below this amount, she doesn't need to worry.

However, if she now wanted to start giving away this money to her children, is there a limit on how much can be given away? Should the money be given in one lump sum or spread out over a number of years.

As I understand it, because the estate is below the dual limit, any gifts she made would not fall under IHT even if she didn't survive until 7 years after the gift. Is this right?

Comments

  • CLAPTON
    CLAPTON Posts: 41,865 Forumite
    10,000 Posts Combo Breaker
    indeed so, there would be no IHT liability if the sum for the 7 years gifts plus the value of her property at death is less than 650,000 aas her has acquired her spouses allowance
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