H2B and LISA and inheritance

oldmanfriday

My son has a H2B ISA but has now inherited a share in a property. This is only worth a small amount, less than the level where the SDLT surcharge becomes active on buying his first home. Is there a similar de minimis level for the ISA or is it simply you own another property so no bonus ?

Alexland

It's not about the property value but if he does/will actually own a share of the property or is it to be sold within the deceased's estate and he is to inherit a cash distribution from the proceeds of sale in which case he has still not owned property? If it's not too late a deed of variation may be useful depending on how the will is drafted.
https://www.boringmoney.co.uk/ask/how-does-inheriting-a-property-affect-the-status-of-my-lisa/

Keep_pedalling

Hopefully the property has not been transferred into beneficiaries names 

Can you tell us a bit more about the inheritance.

Is the property being sold and the estate being distributed as cash?

If not, has the deceased given a life interest to an occupant such as a partner or spouse? 

oldmanfriday

He will receive a share in the proceeds from a property, as far as I can tell this will not count. He will also receive a share in a foreign property that will be kept. The value is very low, under the 40k that would bring in the salt surcharge 

masonic

The foreign property will disqualify him as a FTB under the rules of both the HTB ISA and LISA schemes.