cash gifts to family - without affecting benefits ?

getmore4less

Gift effect benifits as income, I cannot believe anyone thinks this is true as this would create the rediculous situation that you would have to account for every gift.

Mate buys you a pint down the pub, mum takes you out for a birthday meal.... the list goes on.


What will effect benifits is if you don't spend the gifts and your asset base starts growing.


There is a minor complication of how/when and the frequency you measure the asset base.

sh1981

getmore4less wrote: »

Gift effect benifits as income, I cannot believe anyone thinks this is true as this would create the rediculous situation that you would have to account for every gift.

Mate buys you a pint down the pub, mum takes you out for a birthday meal.... the list goes on.


What will effect benifits is if you don't spend the gifts and your asset base starts growing.


There is a minor complication of how/when and the frequency you measure the asset base.

That IS the law. Look up barter trade.
If you so much so as buy a pack of cigarette for your electrician friend who helped you put a lightbulb in, it has to be declared. Most don't but that doesnt mean its not true.

System

This only applies if you are a freeman of the land. But it doesn't matter then as nobody has authority over you.

NYM

sh1981 wrote: »

Only difference, I'm right. I have provided links, you have provided accusations.

I'm...terribly, terribly wounded by that comment !!!

sh1981

NYM wrote: »

I'm...terribly, terribly wounded by that comment !!!

I sincerely apologise if I may have caused any hurt, however they did seem accusations to me. I'm sorry.

dippy3103

sscrabble wrote: »

I would like to give my daughters some cash weekly (maybe £50) to help them out - is there any way I can do this through a bank account without affecting any benefits they get - or would I just have to give them the money in cash - I would rather they could just access it themselves.

It would also depend on what benefits they are getting- the regulations are different for various benefits.

julie777

dippy3103 wrote: »

It would also depend on what benefits they are getting- the regulations are different for various benefits.

A friend wishes to give us part of a legacy.
She was left money by a lady who we helped quite a lot and wishes to give us a part of it.

We are on ESA and HB and I have DLA.
Should we write to tell them?
It doesn't seem like they would deduct anything from the benefits but are we responsible for letting them know or is it only if they ask about gifts?

We will probably have to tell HMRC next year in their form I imagine. Will it be taxed does anyone know?

Thanx in advance

Morglin

Yes, as you are on means tested benefits (Housing Benefit) then you need to declare anything like a legacy.

It won't affect your DLA, it may affect your ESA, (depending on amount and whether it's contribution based or Income Related) and it may affect your HB (depending on the amount).

But, you need to let them know - they are linked to the Inland Revenue, who receive details of all UK bank accounts, so don't try to hide it. (not saying you would, it's just that some do!)

If the amount is too small to affect anything, they will let you know.

Capital Gains is taxed, but I don't know how that works, so, best contact the Tax Office.

Lin

xylophone

anything like a legacy.

It may be that the OP is not receiving a legacy but a gift from somebody who has received a legacy. (unless what is proposed is a Deed of Variation of the will of the person the OP helped).

However, even if the OP is merely receiving a gift, it might be enough to bring his/her capital up to a level that would have an effect on means tested benefits?

julie777

Yes, my friend received the legacy but kindly wishes to give us a gift (kind of on behalf of the deceased?) But it is basically a gift from a friend. Lucky us!

So I will tell the benefits people especially HB as it will increase our Bank balance.

Thanks for your help.