Tax on inheritance received from abroad 7 November 2022 at 11:52AM in Deaths, funerals & probate 3 replies 226 views

Maybethen

Hello,

Recently me and my children have all received a modest inheritance from my late grandmother and we are soon to receive the same again now my grandfather has also passed. I received £8500 and will do so again and each of my 3 children has received £4250 and will get that same amount again in a few months.
My grandparents are from the Netherlands and my Dutch mother is the person dealing with the estates and has hired a solicitor to make sure all tax was paid on their end as it should. 
So we are receiving these sums of money from abroad, does that change any of the inheritance rules? Do I need to contact HMRC and inform them? If so, where do I start? Does it count as income?

Sorry if I'm not making much sense, but I have no idea where to begin or if we even need to do anything other than come up with a way to honour my grandparents with my share of the money.

thanks

Keep_pedalling

No tax issues at all, and this is not income. If their estates had any inheritance tax to pay it would have been paid by the estate administrator before distribution. 

Inheritances are gifts and we have no gift tax in the UK.

TBagpuss

You wouldn't have any UK tax liability. If any of the receipients recieve means tested benefits you'd have to declare it as capital but other than that you should be fine. 

Maybethen

thank you both, very clear helpful answers