Gifts out of regular income ending

2stixoftwixes

If I were to gift £30k out of my surplus income once every year and I did this for say 5 years running and then year 6 I couldn't afford to do it anymore due to a change of circumstances would the previous 5 years be disallowed or would  the £30k pa still be exempt from IHT 
 

DRS1

I can't see why years 1 to 5 would be disallowed.
What is the concern?

2stixoftwixes

there isn't a concern - I wasn't sure how it would work

if 'Regular Gifts' were classed as for life , not for a short period

NorthYorkie

 see IHTM14231 - Lifetime transfers: normal expenditure out of income: introduction - HMRC internal manual - GOV.UK).

Keep_pedalling

If circumstances change, for example all your excess income was now needed to pay for a live in carer, then no the previous 5 years exempt gifting would not be disqualified. On the other hand HMRC might challenge it if all the surplus income came from a SIPP that you used up by withdrawing at an unsustainable rate.