CGT & Inheritance Tax

getmore4less

You need to think of gifts as not coming out of the estate for 7 years.

if you don't gift they stay in the estate for longer, gifts are on the whole IHT neutral.

What is the objective here?
Rather than present a solution present the problem you are trying to solve.

muddledmini

getmore4less wrote: »

You need to think of gifts as not coming out of the estate for 7 years.

if you don't gift they stay in the estate for longer, gifts are on the whole IHT neutral.

What is the objective here?
Rather than present a solution present the problem you are trying to solve.

There isn't a 'problem' as such. I guess was just trying to enquire if IHT is still applicable to properties 'gifted' during the parent's lifetime, even if they are the child's main residence. I think I was getting muddled with not having to pay CGT if I (ever) sell it because it would be my main residence.

The objective was just need a little clarity, for which I thank everyone for

John_Pierpoint

Never assume that "Intelligent Design" created the tax system.
It has been created by "political evolution" and there is no jigsaw that fits the bits together to make a logical picture.
The classic case is so-called National Insurance - a weekly tax which does not dovetail with income tax, an annual tax. So NI "thinks" there are 13 months in a year and income tax tends to think there are 52 weeks in the year only sometimes there are 53.
We all settle-up on April 5th because the Romans got the leap years wrong, having agreed that the angel Gabriel had his way with the Virgin Mary on the 25th of March.

So when the pope agreed to reform the calendar the taxman was not prepared to let the taxpayer off paying the missing days.
https://en.wikipedia.org/wiki/Calendar_reform#Historical_reforms
Is universal credit a step in the right direction?