Gift to grandchildren

HappyHarry

Sea_Shell said:

If you pay the venue directly, who's to know they weren't your lessons 😉.  

The executors? They would be the ones committing tax fraud.

tacpot12

Your question about whether you need to keep a record of gifts, and where you would do that is a good one. For those of us that are technically savy, keeping them on a computer is an obvious option, but you need to find a secure way of allowing access to them in the event of your death. 

I have quite a lot of information that my executors need to have after I die, so have left a guide for them of what they will need, where to find it and how to access it with my Will. 

Abbafan1972

no idea about the technicalities, but 50k a year for riding lessons?  F me. 

MarzipanCrumble

Might it have been a typo?  Not 50k but 5K?

I regularly fill in last page of IHT403 - fistly as a spreadsheet on computer but then summarise in paper format.  This form also would help with normal gifts too.

https://assets.publishing.service.gov.uk/media/5f60b44cd3bf7f7234487bf0/IHT403-05-20.pdf

Grumpy_chap

MarzipanCrumble said:

Might it have been a typo?  Not 50k but 5K?

Possibly.
But the OP has been active this morning so after people queried the £50k statement.  You would think if it was a typo, the OP would have had the courtesy to admit the same once they realised it was causing confusion.
This variance also makes a big difference to the advice that may be most appropriate.  At £5k per year for riding lessons, the whole amount is far more likely to be covered by "regular gifts out of income".

Indout96

HappyHarry said:

The executors? They would be the ones committing tax fraud.

How on earth would executors know what money was spent on ?
Not a throw away comment as I am down as my dads executor and at 87 he keeps virtually no records, he has enough money that he does not need to worry about it is his attitude (around £25k on holidays last year and off to Vietnam in February) 

QrizB

For £50k pa I'd hope that, while little Jemima is out in the paddock taking Smudge for a canter, Jemima's mummy is also getting personal lessons from Seth and Reuben in the hayloft ...

(Sorry, too much Jilly Cooper!)

(Although Seth and Reuben were taken from Cold Comfort Farm.)

Kirkmain

Grumpy_chap said:

MarzipanCrumble said:

Might it have been a typo?  Not 50k but 5K?

Possibly.
But the OP has been active this morning so after people queried the £50k statement.  You would think if it was a typo, the OP would have had the courtesy to admit the same once they realised it was causing confusion.
This variance also makes a big difference to the advice that may be most appropriate.  At £5k per year for riding lessons, the whole amount is far more likely to be covered by "regular gifts out of income".

No £50k is correct, ok maybe £46k but I rounded up. This includes lessons, insurance, uniform, helmet, stirrups, saddle, competition entry, horse box hire for said competitions. Pretty much everything except the horse and stable costs.

MarzipanCrumble

ok - then if 50k can come out of excess income suggest OP documents this by recording their usual expenditure i.e. in IHT 403 to prove that 50k can come out of excess income.  Think OP would need to make regular possibly equal monthly payments then which would amount to 50kp.a.
However if it comes out of capital or by selling assets then maybe counted as a Gift.  OP should take advice I think.