Inter Vivos Gifts of Shares

[wally]

My wife and I would like to transfer (gift) some shares to her parents who are in their 70s, before 5th April deadline. The shares are currently in my wife's name, and she pays no tax (part time job). I have stock transfer form at the ready.
Questions:
1) Is it possible that my wife can gift £3000 to each parent, and also take advantage of the fact that she did not make any gifts in the previous tax year thereby doubling the gifts to £6000 to each parent?
2) If my wife survives 7 years, will the payments become tax exempt PETs anyway?
3) Looking at it from the point of view of my retired parents in law (F-I-Law has a small pension, and is a tax payer, M-I Law is not a tax payer), will the gifts be liable to income tax as unearned income? As less than £7700, I also assume that they will not be liable to CGT, provided they have received no other capital gains in the year?

Can anyone please help?? Thanks in anticipation.

Wally

[deanshepherd]

There will be no income tax on the gifts although transferring funds 'up' a generation is generally bad IHT planning as it may get taxed on the way back 'down'.