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Parents Paying Off Credit Card, will I be Taxed?

PMD22PMD · 2014-08-29 13:49:54

Hi, I've had credit cards for years and have paid the minimum amount for far longer than I should. My Parents have offered to help me out and pay off all my remaining credit cards (Total £10,000). I'm worried that I will have to pay tax on this? Also I receive child tax credits due to my low income, if counted as income…

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zagfles Posts: 21,495 Forumite

31 August 2014 at 10:57AM

dzug1 wrote: »

But it's not even potentially subject to IHT

£5000 from each parent is within the exempt transfer limit -
using two years' allowances

That's assuming the parents didn't make any other significant gifts to anyone in that two years, and that the amount came 50/50 from each parent.

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