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Large gift from parents

rustymarks
rustymarks Posts: 1 Newbie
in Loans
Hi...i am new to this site so please bear with me. I am curious to find out if a £120,000 can be given to me from my parents as a loan instead of a gift. Would i then be exempt from the 7 year rule ?

Comments

  • Tixy
    Tixy Posts: 31,455 Forumite
    Assume you are talking about inheritance tax. If so you might be better posting on the Cutting Tax section.

    However - are they/you intending that you will repay the loan? will the loan agreement clearly set out the repayment schedule and interest rate? Is it intended you would you still owe the loan to your parent's estate in the event of their death?
    A smile enriches those who receive without making poorer those who give
    or "It costs nowt to be nice"
  • Apples2
    Apples2 Posts: 6,442 Forumite
    We had a post on here a little while ago - Parents gave a lump sum in advance of Inheritance.

    Fast forward a few years and the parents want it back again - Cue a host of legal threats and family mayhem.
This discussion has been closed.
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