cash gift in will

CCHRIS44

If I leave my grandchild10 thousand pounds and nothing else in my will will they be liable to pay tax on it…..advice appreciated

Placitasgirl

Beneficiaries in the UK do not pay Inheritance Tax on cash left to them in a will; any Inheritance Tax due is paid directly by your estate before it is distributed. 

If you leave your grandchild £10,000 they will not pay income tax on the gift itself. However, if they put the gift into a savings account and it earns interest, they may owe income tax on the interest earned if it exceeds their personal savings allowance.

Albermarle

https://forums.moneysavingexpert.com/discussion/6684833/cash-gift-in-will

Normally there is no tax on gifts in the UK, whether you are alive or dead when you give them. ( maybe an exception for very large gifts ( > £325 K) in certain circumstances.

If you have a lack of knowledge in this area, then make sure your will is drawn up by a professional/solicitor

Keep_pedalling

You would normally specify in the will the such specific sums should be paid tax free. If your estate falls within IHT territory then any IHT comes out of the residual estate.

How old is your grandchild? Any chance any more could be bourn after you will is made?

QrizB

Of course if you've got the £10k today, you could give it to the grandchild tomorrow.