Gifting

erniethemilkman999

My Nan has just sold her house and wants to know how much she is allowed to give me and also can she buy me things like a car?

Dazed_and_C0nfused

erniethemilkman999 said:

My Nan has just sold her house and wants to know how much she is allowed to give me and also can she buy me things like a car?

She give you what she wants.  And buy you a Ferrari is she wants to.

Is there some particular issue you are trying to get at 🤔

Mark_d

As far as I'm concerned she can give you everything she owns.  If she can afford a car then she can buy one for you.  But if she's giving away her assets so that she can avoid paying care costs, then that's a big no no.

Ayr_Rage

There may also be inheritance tax issues, you'll need to do your research.

p00hsticks

Mark_d said:

if she's giving away her assets so that she can avoid paying care costs, then that's a big no no.

Not just care costs - any means tested benefits such as pension credit, council tax reduction etc....

Keep_pedalling

It’s not really a question of how much she is allowed to give away but how much can she afford to. 

Deprivation of assets is an issue if she receives any means tested benefits or if she requires residential care in the future, but for instance her house fetched £1M and she gave you half that deprivation of assets does not come into it as she will have retained sufficient assets for her own needs. 

Keep_pedalling

Ayr_Rage said:

There may also be inheritance tax issues, you'll need to do your research.

Gifting never negatively affects IHT, the worse that can happen is if you don’t survive 7 years after making the gift the same amount of IHT would be due as as it would if the gift had never been made. 

sheramber

Where is she living now that she has sold her house?