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CGT/ Inheritance tax situation

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Comments

  • xylophone
    xylophone Posts: 46,046 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    Well we both know quite a few people who have died of Covid and she's been meaning to do it for a while.

    You might care to read that sentence again........   :) 

  • getmore4less
    getmore4less Posts: 46,882 Forumite
    Part of the Furniture 10,000 Posts Name Dropper I've helped Parliament
    If you paid off the mortgage that's a start for beneficial interest.

    How much was the mortgage and the house worth at the time? 
    A combination of benefitial interest and gift would work. 

    Nil rate bands will exempt the first £500k.
  • macman
    macman Posts: 53,129 Forumite
    Part of the Furniture 10,000 Posts Name Dropper
    edited 2 September 2020 at 10:46AM
    OP, you paid off the interest only mortgage? So your mum paid off the capital sum owing from her own funds?
    Estate is approx £680K (property and savings)? Any other assets? 
    NB: you won't have to pay any IHT, if due. IHT is charged to the estate. At present, the liability appears to be around £180K, so £72K. 
    You are still inheriting the property, even though you may possibly have a beneficial interest in it.  Has your mum made a will?
    Definitely worth your mum taking professional estate planning advice, with the property being key.

    No free lunch, and no free laptop ;)
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