Passing on second home to my Son

Alexiev

Jeremy535897 said:

You have to get the ownership correct immediately. If you die, the property owned as joint tenants all passes to your ex-wife.

Could this be beneficial from a tax point of view. My ex wife has no other assets to pass on

Jeremy535897

If you are currently unmarried, all your estate above your nil rate band (to the extent not used by gifts in the seven years before death) is chargeable to inheritance tax on your death, unless left to charity, whoever it passes to.

Alexiev

Jeremy535897 said:

If you are currently unmarried, all your estate above your nil rate band (to the extent not used by gifts in the seven years before death) is chargeable to inheritance tax on your death, unless left to charity, whoever it passes to.

Thanks but wouldn't only 50% be chargeable on the main house as apposed to 100%?

Could it be beneficial if me and my ex wife get remarried. We are both get on extremely well and are both want our son and grandchildren to inherit as much as possible

Jeremy535897

Yes, because only half is in your estate.

Remarrying would reinstate the exemption between husband and wife.

getmore4less

The big issue with the current setup is there are no transferable nil rate bands which can mess this up big time with joint tenants to a non spouse if you don't have enough other assets to use them.

How much over £1m is the total of both estates.

A CGT hit now may be worth taking to reduce a future IHT bill but there may be other options to mitigate.

Grumpy_chap

Alexiev said:

Could it be beneficial if me and my ex wife get remarried. We are both get on extremely well and are both want our son and grandchildren to inherit as much as possible

Presumably you and she are "exes" for some reason or another.

Re-marriage may maximise what you can pass to your children and avoid IHT. 
Other factors may mean that your estate (or your joint estate) falls below the IHT threshold by the time of your children inheriting anyway - care home fees, for example.
If you re-marry could whichever of you departs second change whatever they have inherited from the now joint spousal estate and spend it or leave it to people other than your son?

If you re-marry, what restrictions will that place on either of you being able to meet a.n.other?  Or are you saying, you and the ex-wife are reconciled and living as married again so might as well be married again?  Then any tax outcomes are purely coincidental.

Chris_English

Alexiev said:

Jeremy535897 said:

You have to get the ownership correct immediately. If you die, the property owned as joint tenants all passes to your ex-wife.

Could this be beneficial from a tax point of view. My ex wife has no other assets to pass on

Well yes, but I thought that you wanted it to go to your son. This way he gets nothing, and your wife gets a house.