tax

patsy43

I what to live my house to my daughter with a revise that it then passes to surviving grandchildren dose this course a tax problem they are 6 grand children at this time 4 children to daughter house is being left to and 2 of her sisters

eskbanker

Not sure I'm understanding fully exactly what you have in mind - you want to leave your house to your daughter or alternatively to your grandchildren if she's no longer alive, or you want to nominate what happens to it if your daughter dies after inheriting it?  Anyway, when you talk to a solicitor about including such provisions within your will they'll ensure that the relevant wording is specified.

From the tax perspective, is your estate likely to be subject to inheritance tax?

Edit: I'm assuming that "I what to live my house to my daughter" means 'leave' it to her (when you die), rather than 'give' it to her (while you're still around)?

patsy43

eskbanker said:

Not sure I'm understanding fully exactly what you have in mind - you want to leave your house to your daughter or alternatively to your grandchildren if she's no longer alive, or you want to nominate what happens to it if your daughter dies after inheriting it?  Anyway, when you talk to a solicitor about including such provisions within your will they'll ensure that the relevant wording is specified.

From the tax perspective, is your estate likely to be subject to inheritance tax?eskbanker said:

Not sure I'm understanding fully exactly what you have in mind - you want to leave your house to your daughter or alternatively to your grandchildren if she's no longer alive, or you want to nominate what happens to it if your daughter dies after inheriting it?  Anyway, when you talk to a solicitor about including such provisions within your will they'll ensure that the relevant wording is specified.

From the tax perspective, is your estate likely to be subject to inheritance tax?

eskbanker said:

Not sure I'm understanding fully exactly what you have in mind - you want to leave your house to your daughter or alternatively to your grandchildren if she's no longer alive, or you want to nominate what happens to it if your daughter dies after inheriting it?  Anyway, when you talk to a solicitor about including such provisions within your will they'll ensure that the relevant wording is specified.

From the tax perspective, is your estate likely to be subject to inheritance tax?

Edit: I'm assuming that "I what to live my house to my daughter" means 'leave' it to her (when you die), rather than 'give' it to her (while you're still around)?

yes when i die 

patsy43

rewarding i what to live house when  i die  to my daughter  how has for children they is no inheritance tax i then what the property to be sold and money diveded by 6 grand chidren 4  of hers and 2 of her sisters so money from house devieded by six dose this course a problem with capetal gains tax 

eskbanker

There wouldn't be any capital gains tax involved if the property is occupied by its owner and then sold on their death with the proceeds distributed.

DullGreyGuy

patsy43 said:

rewarding i what to live house when  i die  to my daughter  how has for children they is no inheritance tax i then what the property to be sold and money diveded by 6 grand chidren 4  of hers and 2 of her sisters so money from house devieded by six dose this course a problem with capetal gains tax 

So you want to leave the property to your daughter but the benefit ultimately go to your 6 grandkids? 

What happens if she decides she wants to move to London or New York? Can she sell the house and keep the proceeds? Must she sell it and the funds immediately go to the grandkids? Are the funds to be held in trust until they reach a certain age?

What happens if at the point the house is being liquidated there are more than 6 grandkids in the picture? Still just the 6 that exist now?

patsy43

no more grand children all to old not sure what to do if she sales but its is not very likely as she has a learning disabelty 

lr1277

Not an expert in this area, but this is my understanding based on reading this forum.

If you give your house to your daughter, you cannot they say what happens to it after she passes. Once she owns it, it is her right to make any decisions about it including who it is passed to once she dies.

One possibility is to give the house to the grandchildre, but give your daughter something like a licence to live in it (not sure of the exact term). Then your daughter can live in the house till she passes (or no longer wants it) then it is sold and the money divided between the grandkids. However she cannot sell the house.

However you would need somebody to undertake the sale once your daughter passes. This would normally be the executor. Is your chosen executor going to outlive your daughter and at such time as she passes, will they be capable of selling the property?

The other issue you raise is how old are the grandkids? If they are over 18 then no problems. If they are under 18, especially if they then receive the proceeds of a house sale, the executor would normally have to look after the money till the child reaches 18.

If any of the grandkids are over 18 you could make one or more of them the executor. There is a very small risk the grandchild could force your daughter out of the house so that they can sell the house and get the money. Only you know who is best placed to be the executor of your will.

Say you pass the house onto your daughter, can she afford to maintain it and pay all the bills? Even if you don't pass the house to your daughter but to the grandkids instead, can your daughter afford to maintain the house whilst she lives there?

You can discuss this with a solicitor who is going to draw up your will.

The cleanest solution would be to sell the house on your death and pass the proceeds either to your daughter or the grandkids. And if the grandkids are under 18, the executor would need to hold onto each child's share of the money till they turn 18.

Marcon

patsy43 said:

no more grand children all to old not sure what to do if she sales but its is not very likely as she has a learning disabelty 

Get some proper legal advice (the sort you pay for) from a good solicitor, to ensure that everything is watertight. No good relying on this forum for anything other than general comment, not least because nobody here is insured if things go wrong on the basis of what they've posted.

Bookworm105

patsy43 said:

no more grand children all to old not sure what to do if she sales but its is not very likely as she has a learning disabelty 

You need to pay a solicitor for professional answers to your questions
Answers on here are only as good as the info you provide, it is no use drip feeding bits to us as we waste time responding to things that turn out to be wrong .
Your question is now very different to what you initially said as it may be necessary to create a trust that holds "her" money for her if she is unable to manage her own affairs if she lack mental capacity to do so.