New Post Advanced Search

Tax on Receiving Cash gift from EEU

2 replies 50 views
jwan89jwan89 Forumite
1 posts
MoneySaving Newbie
I wonder if anyone has any advice please.  My sister is a Swedish National living in Sweden, she wants to gift my daughter lump sum to my daughter, who is 18 years British National and lives in Britain starting university in September this year to help her with university tuition fees and living expenses during her university course, 
1- is there a limit to the amount of cash that is allowed to be received as a gift from a relative?
2- does my daughter needs to fill any form to be submitted to the bank/ HMRC?
3- does my daughter has to pay tax for receiving this? 
4- if my sister dies does the 7 years inheritance rule apply considering that according to the Swedish law there is no inheritance tax to be paid? 

Replies

  • edited 28 June at 8:50PM
    pphillipspphillips Forumite
    1.1K posts
    1,000 Posts Fourth Anniversary Name Dropper
    ✭✭✭
    edited 28 June at 8:50PM
    In the UK, there is no limit on the amount of cash you can receive and there is no tax to pay. The gift will be subject to whatever the Swedish inheritance tax rules say about lifetime transfers.

  • Savvy_SueSavvy_Sue Forumite
    41.9K posts
    Part of the Furniture 10,000 Posts Name Dropper
    ✭✭✭✭✭
    jwan89 said:
    I wonder if anyone has any advice please.  My sister is a Swedish National living in Sweden, she wants to gift my daughter lump sum to my daughter, who is 18 years British National and lives in Britain starting university in September this year to help her with university tuition fees and living expenses during her university course, 
    1- is there a limit to the amount of cash that is allowed to be received as a gift from a relative?
    2- does my daughter needs to fill any form to be submitted to the bank/ HMRC?
    phillips is right, but ... depending on how large the gift is, it is possible that your DD's bank will ask where the money has come from, and want to check that there's no money laundering involved. How they will check this depends on the bank, and possibly on the size of the gift, ie one bank might make extra enquiries for a much smaller sum than another. 
    Still knitting!
    Completed: TWO adult cardigans, 3 baby jumpers, 3 shawls, 1 sweat band, 3 pairs baby bootees, 2 sets of handwarmers, 1 Wise Man Knitivity figure + 1 sheep, 2 pairs socks, 3 balaclavas, multiple hats and poppies, 3 peony flowers, 4 butterflies ...
    Current projects: pink balaclava (for myself), seaman's hat, about to start another cardigan!
Sign In or Register to comment.

Quick links

Essential Money | Who & Where are you? | Work & Benefits | Household and travel | Shopping & Freebies | About MSE | The MoneySavers Arms | Covid-19 & Coronavirus Support