my farther wants to give me money?

micsey

my farther wants to give my 20k to put towards a house? i am worried about iht in the future,he has a house worth about 170k and about 40k savings of witch 20k he would like to give to me,if he where to pass away within 7 seven years would i have to pay tax on this? or dose it make no odds at all because his estate will be a lot lower than £325000 threshold,thanks

le_loup

You have it right.

micsey

what about if he had to go it to care

DigForVictory

Please, have a careful look here:
http://www.ageuk.org.uk/Documents/EN-GB/Factsheets/FS40_deprivation_of_assets_in_the_means_test_for_care_home_provision_fcs.pdf?dtrk=true
And if that's too baby steps, just google "deprivation of assets" - being a loving & generous parent has got a lot more complicated.

bristol_pilot

DigForVictory wrote: »

Please, have a careful look here:
http://www.ageuk.org.uk/Documents/EN-GB/Factsheets/FS40_deprivation_of_assets_in_the_means_test_for_care_home_provision_fcs.pdf?dtrk=true
And if that's too baby steps, just google "deprivation of assets" - being a loving & generous parent has got a lot more complicated.

Not an issue if the OP's father is currently fit and healthy and there is no reason to think he might need residential care. The vast majority of people never go into residential care. A good argument in favour of making such gifts whilst still in good health.

Regarding IHT, not an issue since the entire estate falls below the threshold. Even if that were not the case, there is no IHT to pay after 7 years. Even in cases where IHT has to be paid, it is paid by the deceased person's estate - not by the recipient of the gift!

gadgetmind

micsey wrote: »

my farther

Um, it's "father". "Farther" means "a greater distance" as it's the comparative form of the verb "far".

I wouldn't mention but you misspelt twice.

Friendly correction, and all that.

ChesterDog

Equally friendly correction: when you said verb, you of course meant adjective.

Glen_Clark

If my father had to go into residential care, he would no longer need his house, so I would want to sell it and use the funds to provide him with the best care we could afford.
I would not plan to keep his money by bunging him in the cheap overcrowded accommodation the council provide, paid for by someone else, so I could inherit his money I have not earned.

gadgetmind

ChesterDog wrote: »

Equally friendly correction: when you said verb, you of course meant adjective.

Yes, thanks, I was a few glasses into my Friday evening. :cool:

And those shades don't mean cool!