Gifting money TO parents, limits and tax

le_loup

Difficult isn't it?
What is there not to understand in post 2.
There is no tax on gifts.
Full stop.

00ec25

Rootamoota wrote: »

So I don’t need to declare gaining £10k on my self assessment?

there are 2 letters you need to read, one is an "N" and the other is an "O"
when written side by side they form the word no

here are selected definitions of that word:
- a negative answer or decision,
- not in any degree or manner;
- not at all

Rootamoota wrote: »

Would that be the same if a mate gave me £10k?

there are 3 letters you need to read, one is an "Y", one is an "E" and the other is an "S"
when written side by side they form the word yes

its meaning:
- an affirmative answer or decision

badmemory

Why would an 18 yr old give you £10k & why would you think of accepting it? I know that my finances would have to be dire before I would permit my son to do this.

uknick

As the OP has had their answer, hopefully this won't significantly derail the thread, but, why do people in the UK think there is a gift tax as well as IHT?

My brother keeps on mentioning it along with death duties (yes I know he's nearly 50 years out of date), despite me correcting him every time.

Whilst I can't find one referenced on Google, was there ever a UK gift tax?

le_loup

Because many other countries, like the US for example do have gift taxes.
As we are now a cosmopolitan society so I guess these rumours abound.
Then again, there is so much concentration on IHT that most people think their heirs are going to pay it when, in fact, they won't.

David_Aston

Sorry, is the op's son possibly liable for some tax on the gift?

Mojisola

Rootamoota wrote: »

My son is 18 and has recently received an inheritance from his grandmother.

David_Aston wrote: »

Sorry, is the op's son possibly liable for some tax on the gift?

If there is any inheritance tax due on the grandmother's estate, it should be paid by the executors before beneficiaries receive their inheritance.

[Deleted User]

David_Aston wrote: »

Sorry, is the op's son possibly liable for some tax on the gift?

See post 5

uknick

le_loup wrote: »

Because many other countries, like the US for example do have gift taxes.
As we are now a cosmopolitan society so I guess these rumours abound.
Then again, there is so much concentration on IHT that most people think their heirs are going to pay it when, in fact, they won't.

That's what I thought.

kidmugsy

le_loup wrote: »

Because many other countries, like the US for example do have gift taxes.

It reminds me of the chumps who talk about "common law wife." I gather that that status exists in some states of the US. Not here though.