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I have a rich uncle....

salim_shady
salim_shady Posts: 6 Forumite
in House buying, renting & selling
Hi Guys,

This is my first time post so hello all...

Here is a scenario, Say if my uncle suddenly decides to buy me a house out right a give it to me as a gift what are the implications from a legal/IRS point of view

is he allowed to do that?

Also what if I decided to start paying him back...would he or myself get in trouble for it???
«1

Comments

  • Tancred
    Tancred Posts: 1,424 Forumite
    salim_shady wrote: »
    Hi Guys,

    This is my first time post so hello all...

    Here is a scenario, Say if my uncle suddenly decides to buy me a house out right a give it to me as a gift what are the implications from a legal/IRS point of view

    is he allowed to do that?

    Also what if I decided to start paying him back...would he or myself get in trouble for it???

    First question: are you looking for a husband? :)
  • wannahouse
    wannahouse Posts: 381 Forumite
    Part of the Furniture 100 Posts Name Dropper Combo Breaker
    salim_shady wrote: »
    Hi Guys,

    This is my first time post so hello all...

    Here is a scenario, Say if my uncle suddenly decides to buy me a house out right a give it to me as a gift what are the implications from a legal/IRS point of view

    is he allowed to do that?

    Also what if I decided to start paying him back...would he or myself get in trouble for it???
    are you american???
    we don't call it the IRS here...

    so what scam are you trying to pull off here exactly?
  • ValHaller
    ValHaller Posts: 5,212 Forumite
    1,000 Posts Combo Breaker
    salim_shady wrote: »
    IRS
    This is a UK site. We know nothing of this IRS.
    You might as well ask the Wizard of Oz to give you a big number as pay a Credit Referencing Agency for a so-called 'credit-score'
  • salim_shady
    salim_shady Posts: 6 Forumite
    Hi Guys, sorry first off all...I'm a British bloke,
    Secondly....In my head I still call it the Inland Revenue Service...meant to say HMRC

    No Scam....just wondering because I had a light bulb moment in the shower but wasn't sure about it...nothing dodgy just a random brain wave
  • G_M
    G_M Posts: 51,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    OK then - are you looking for a wife?
  • salim_shady
    salim_shady Posts: 6 Forumite
    Lol...thanks for the offer but i'm very happily married
  • G_M
    G_M Posts: 51,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    salim_shady wrote: »
    Hi Guys,

    This is my first time post so hello all...

    Here is a scenario, Say if my uncle suddenly decides to buy me a house out right
    Lucky him
    a give it to me as a gift
    Lucky you
    what are the implications from a legal
    You register it with the Land Registry in your name. It's yours.
    /HMRC point of view
    If he dies within 7 years the value of the property (or a pro rata % of it) would be included in his Estate for Inheritance Tax purposes.

    is he allowed to do that?
    Why ever not?

    Also what if I decided to start paying him back...would he or myself get in trouble for it???
    in trouble with who? For what?

    But your final question throws into doubt that he is "giving" you the property. It sounds like he is 'lending' you the money with which to buy the house...
  • G_M
    G_M Posts: 51,977 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    salim_shady wrote: »
    Lol...thanks for the offer but i'm very happily married
    Hey, I have no qualms about busting up a happy marriage when there's a free property involved....

    Are you gay?
  • anselld
    anselld Posts: 8,650 Forumite
    Part of the Furniture 1,000 Posts Name Dropper
    salim_shady wrote: »

    Also what if I decided to start paying him back...would he or myself get in trouble for it???

    You would be guilty of avoidance of stamp duty.
    If the payments include any interest your uncle would need to declare that as income.
  • J_i_m
    J_i_m Posts: 1,342 Forumite
    He'd probably have to pay a hefty tax to "gift" you the money as well.
    :www: Progress Report :www:
    Offer accepted: £107'000
    Deposit: £23'000
    Mortgage approved for: £84'000
    Exchanged: 2/3/16
    :T ... complete on 9/3/16 ... :T
This discussion has been closed.
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