Your browser isn't supported
It looks like you're using an old web browser. To get the most out of the site and to ensure guides display correctly, we suggest upgrading your browser now. Download the latest:

Welcome to the MSE Forums

We're home to a fantastic community of MoneySavers but anyone can post. Please exercise caution & report spam, illegal, offensive or libellous posts/messages: click "report" or email forumteam@.

Search
  • FIRST POST
    • NikNak72
    • By NikNak72 13th Mar 18, 4:51 PM
    • 4Posts
    • 0Thanks
    NikNak72
    Directors Loan Gift (IHT)
    • #1
    • 13th Mar 18, 4:51 PM
    Directors Loan Gift (IHT) 13th Mar 18 at 4:51 PM
    Hi, can anyone tell me if a solicitor is needed to make a legal document to gift money from a Directors Loan Account (in credit) of 300k to two grandchildren (both over 18).
    I know that gifts should be recorded, when and how much was gifted.
    Read elsewhere that it is better to have an official document to record this, as HMRC may query it in the future.
    I under stand the 7 year rule and PET's

    TIA
Page 1
    • xylophone
    • By xylophone 13th Mar 18, 7:03 PM
    • 25,371 Posts
    • 14,967 Thanks
    xylophone
    • #2
    • 13th Mar 18, 7:03 PM
    • #2
    • 13th Mar 18, 7:03 PM
    You made a loan to the company?

    You are gifting the benefit of the loan to your grandchildren?

    https://www.accountingweb.co.uk/any-answers/gifting-a-directors-loan-account-to-family-members

    Above seems relevant.
    • NikNak72
    • By NikNak72 14th Mar 18, 10:35 PM
    • 4 Posts
    • 0 Thanks
    NikNak72
    • #3
    • 14th Mar 18, 10:35 PM
    • #3
    • 14th Mar 18, 10:35 PM
    Hi, thanks for the reply.

    Yes it's BTL / Property development.

    Yes I would like to remove the money from my estate, for IHT planning.

    I will speak to the solicitor about this, wasn't sure what the document was called that's required. The other option is setting up an Family Investment Company to hold assets.
Welcome to our new Forum!

Our aim is to save you money quickly and easily. We hope you like it!

Forum Team Contact us

Live Stats

2,217Posts Today

8,439Users online

Martin's Twitter
  • It's the start of mini MSE's half term. In order to be the best daddy possible, Im stopping work and going off line? https://t.co/kwjvtd75YU

  • RT @shellsince1982: @MartinSLewis thanx to your email I have just saved myself £222 by taking a SIM only deal for £7.50 a month and keeping?

  • Today's Friday twitter poll: An important question, building on yesterday's important discussions: Which is the best bit of the pizza...

  • Follow Martin