Great Uncle gifting gold coins to children - what documentation?

Olinda99

They wouldn't assuming the odd one here or there

doodling

Hi,

Olinda99 said:

They wouldn't assuming the odd one here or there

And paid for in cash without changing his normal pattern of cash withdrawals.

If he wants to shield £1,000 from IHT then he might manage it, if he wants to shield £100,000 then it is a lot harder. 

Of course, it is the executor who has to wrestle with all of this to avoid being accused of tax fraud so his executor also needs to be criminally inclined as well to pull it off.

Rusty190

doodling said:

Hi,

Olinda99 said:

They wouldn't assuming the odd one here or there

And paid for in cash without changing his normal pattern of cash withdrawals.

If he wants to shield £1,000 from IHT then he might manage it, if he wants to shield £100,000 then it is a lot harder. 

Of course, it is the executor who has to wrestle with all of this to avoid being accused of tax fraud so his executor also needs to be criminally inclined as well to pull it off.

So, are you saying that HMRC go through every bank account of every deceased person, for the last 7 years prior to death, looking for anomalies? - or, they select random ones? Or, does it depend on the honesty, or otherwise, of the executor of the estate?
I'm genuinely interested and am not planning on swindling anyone - honest guv. 

doodling

Hi,

The short answer is that I don't know.

I suspect they rely on the executor to be honest most of the time but may well carry out checks either randomly or if the details they hold indicate that something isn't quite right.

silvercar

Rusty190 said:

doodling said:q

Hi,

Olinda99 said:

They wouldn't assuming the odd one here or there

And paid for in cash without changing his normal pattern of cash withdrawals.

If he wants to shield £1,000 from IHT then he might manage it, if he wants to shield £100,000 then it is a lot harder. 

Of course, it is the executor who has to wrestle with all of this to avoid being accused of tax fraud so his executor also needs to be criminally inclined as well to pull it off.

So, are you saying that HMRC go through every bank account of every deceased person, for the last 7 years prior to death, looking for anomalies? - or, they select random ones? Or, does it depend on the honesty, or otherwise, of the executor of the estate?
I'm genuinely interested and am not planning on swindling anyone - honest guv. 

Some people on here would suggest you document everything down to the cup of coffee you bought your beneficiaries 6 years ago. Others don’t worry about small amounts.

mybestattempt

Rusty190 said:

doodling said:

Hi,

Olinda99 said:

They wouldn't assuming the odd one here or there

And paid for in cash without changing his normal pattern of cash withdrawals.

If he wants to shield £1,000 from IHT then he might manage it, if he wants to shield £100,000 then it is a lot harder. 

Of course, it is the executor who has to wrestle with all of this to avoid being accused of tax fraud so his executor also needs to be criminally inclined as well to pull it off.

So, are you saying that HMRC go through every bank account of every deceased person, for the last 7 years prior to death, looking for anomalies? - or, they select random ones? Or, does it depend on the honesty, or otherwise, of the executor of the estate?
I'm genuinely interested and am not planning on swindling anyone - honest guv. 

This extract from the HMRC Inheritance Tax Manual explains:

https://www.gov.uk/hmrc-internal-manuals/inheritance-tax-manual/ihtm29031

Keep_pedalling

silvercar said:

Rusty190 said:

doodling said:q

Hi,

Olinda99 said:

They wouldn't assuming the odd one here or there

And paid for in cash without changing his normal pattern of cash withdrawals.

If he wants to shield £1,000 from IHT then he might manage it, if he wants to shield £100,000 then it is a lot harder. 

Of course, it is the executor who has to wrestle with all of this to avoid being accused of tax fraud so his executor also needs to be criminally inclined as well to pull it off.

So, are you saying that HMRC go through every bank account of every deceased person, for the last 7 years prior to death, looking for anomalies? - or, they select random ones? Or, does it depend on the honesty, or otherwise, of the executor of the estate?
I'm genuinely interested and am not planning on swindling anyone - honest guv. 

Some people on here would suggest you document everything down to the cup of coffee you bought your beneficiaries 6 years ago. Others don’t worry about small amounts.

I don’t think any of us go quite that far 😃

Keep_pedalling

Rusty190 said:

doodling said:

Hi,

Olinda99 said:

They wouldn't assuming the odd one here or there

And paid for in cash without changing his normal pattern of cash withdrawals.

If he wants to shield £1,000 from IHT then he might manage it, if he wants to shield £100,000 then it is a lot harder. 

Of course, it is the executor who has to wrestle with all of this to avoid being accused of tax fraud so his executor also needs to be criminally inclined as well to pull it off.

So, are you saying that HMRC go through every bank account of every deceased person, for the last 7 years prior to death, looking for anomalies? - or, they select random ones? Or, does it depend on the honesty, or otherwise, of the executor of the estate?
I'm genuinely interested and am not planning on swindling anyone - honest guv. 

No they don’t, but some estates that are in or near IHT territory might get picked up for investigation. Truth is in most cases an executor could get away with not declaring lots of stuff, but if caught the consequences would be severe bleeding to large fined, a criminal record or possibly jail time. 

Emmia

Keep_pedalling said:

Rusty190 said:

doodling said:

Hi,

Olinda99 said:

They wouldn't assuming the odd one here or there

And paid for in cash without changing his normal pattern of cash withdrawals.

If he wants to shield £1,000 from IHT then he might manage it, if he wants to shield £100,000 then it is a lot harder. 

Of course, it is the executor who has to wrestle with all of this to avoid being accused of tax fraud so his executor also needs to be criminally inclined as well to pull it off.

So, are you saying that HMRC go through every bank account of every deceased person, for the last 7 years prior to death, looking for anomalies? - or, they select random ones? Or, does it depend on the honesty, or otherwise, of the executor of the estate?
I'm genuinely interested and am not planning on swindling anyone - honest guv. 

No they don’t, but some estates that are in or near IHT territory might get picked up for investigation. Truth is in most cases an executor could get away with not declaring lots of stuff, but if caught the consequences would be severe bleeding to large fined, a criminal record or possibly jail time. 

I'm not sure HMRC has actual blood letting powers (although it might feel like it).

Keep_pedalling

Emmia said:

Keep_pedalling said:

Rusty190 said:

doodling said:

Hi,

Olinda99 said:

They wouldn't assuming the odd one here or there

And paid for in cash without changing his normal pattern of cash withdrawals.

If he wants to shield £1,000 from IHT then he might manage it, if he wants to shield £100,000 then it is a lot harder. 

Of course, it is the executor who has to wrestle with all of this to avoid being accused of tax fraud so his executor also needs to be criminally inclined as well to pull it off.

So, are you saying that HMRC go through every bank account of every deceased person, for the last 7 years prior to death, looking for anomalies? - or, they select random ones? Or, does it depend on the honesty, or otherwise, of the executor of the estate?
I'm genuinely interested and am not planning on swindling anyone - honest guv. 

No they don’t, but some estates that are in or near IHT territory might get picked up for investigation. Truth is in most cases an executor could get away with not declaring lots of stuff, but if caught the consequences would be severe bleeding to large fined, a criminal record or possibly jail time. 

I'm not sure HMRC has actual blood letting powers (although it might feel like it).

😃 I really should not post so late.