Capital Gains Tax and sneaky ways to avoid this

wiseoldlady

As my children are now grown up I am about to change my will. I am trying to think of crafty but legal ways to ensure that when I inevitably die they are left with as much of my estate as possible and the Treasury with as little as possible.  
Are there any tips and tricks that can be recommended?
One idea that was suggested to me was if I were to transfer my property into my children's names now it would be outside the remit of any will ... is this a real thing?  Any input gladly welcomed.

Caz3121

wiseoldlady said:

One idea that was suggested to me was if I were to transfer my property into my children's names now it would be outside the remit of any will ... is this a real thing? 

where do you plan to live if you were to give your home away? If you will be remaining in the property then it is a gift with reservation and still forms part of your estate (and is included in calculations for care requirements) plus they may have capital gains tax on sale (assuming they don't live in it) likely a lose, lose situation

naedanger

wiseoldlady said:

As my children are now grown up I am about to change my will. I am trying to think of crafty but legal ways to ensure that when I inevitably die they are left with as much of my estate as possible and the Treasury with as little as possible.  
Are there any tips and tricks that can be recommended?
One idea that was suggested to me was if I were to transfer my property into my children's names now it would be outside the remit of any will ... is this a real thing?  Any input gladly welcomed.

Is your estate over the current threshold at which inheritance tax becomes payable? The threshold is at least £325k and can be up to £1 million, depending on the circumstances.

Unconditional gifts are exempt from inheritance tax provided you survive at least 7 years from when they are made. (However if you make the gift conditional on something, e.g. your right to continue living in the gifted property, then that can backfire badly.)

Mojisola

wiseoldlady said:

I am trying to think of crafty but legal ways to ensure that when I inevitably die they are left with as much of my estate as possible and the Treasury with as little as possible.  
One idea that was suggested to me was if I were to transfer my property into my children's names now it would be outside the remit of any will ... is this a real thing? 

I'm guessing that you mean 'inheritance tax' rather than the 'capital gains tax' you've put in the title.

The suggestion of putting your home into your children's name could mean that they will have to pay CGT in the future (plus, as said above, it doesn't take it out of IHT calculations) - double taxation instead of no tax paid.

Keep_pedalling

As you clearly have no idea how the tax system works I would suggest you take professional advice. 

xylophone

See a solicitor expert in Wills and Trusts concerning your will, particularly as you are are (as well as a property owner), the (sole?) Trustee of a Trust.

https://content.step.org/step-directory

Some reading before you see the solicitor to help you in formulating topics you wish to cover.
https://www.which.co.uk/money/tax/inheritance-tax