Sending Money Abroad from UK: charges

Pyrifera

This is about sending money to family abroad, from the UK.

1) For amounts over £5000 what is the cheapest way to transfer money to an Australian account of an adult child?

2) What is the situation for UK gift tax ? Do declaration forms have to be submitted to gov.uk?

3) I read a note that amounts over £3000 will incur gift tax. I also read a note that says so long as the giver lives for a year; for each £3000 given, then the accumulated gift tax burden will be forfeit. e.g. if £9000 were given, then after 3 years no tax is due. Does this mean it is simply tracked and no demands will be made during such a period?

4) Any other relevant information would be appreciated.

onomatopoeia99

The UK does not have a gift tax, you can give as much as you want to whomever you want whenever you want.


We do have inheritance tax, and gifts can potentially form part of your estate if you die within seven years of making them. The £3000 annual threshold relates to gifts exempt from being considered part of the estate, but it is not as simple as that. You seem to be conflating different sources of information.

Pixiedust22

I highly recommend Transferwise for sending money abroad.