Parents loaning 15k

mack11

My Parents have just sold there house and offered to pay my debts (I intend to pay them back).

I know there is limits to what they can give as a gift, but can they just phone my credit card company and pay?

Will they be liable for any tax.

Sorry if this is a stupid question.

Thanks.

CLAPTON

Parents (or anyone else for that matter) can give you anything they like without anyone having to pay any tax.
There is a potential inheritance tax liability should they die within 7 years and their estate is above the IHT limit at that time (currently 300K).
In the UK there is no gift tax.

I would have thought it would be better for them to give you the money and then you pay the CC. Otherwise the CC company may not be prepared to deal with them (data protection act and all that) but you could always try.

mack11

Thanks for the reply.