Property transferred to daughter

[ramona]

Our house is in joint names - mine and my mothers. The value of the property is £300,000. We purchased it approx. 3 years ago.

My mother is now dying. Will there be any Inheritance Tax to pay ? Should my mother transfer her share of the property into my name ?

PLEASE HELP ME ! Thank you.

[Simon Sweetman]

No, she should not, because she is presumably unlikley to live for seven years. If her interest in the property is about £150k, that on its own is nowhere near the top of the IHT nil-rate band of £275,000 - so unless she has other property of any sort which would take her estate to that figure there is no problem.

simon.sweetman@btinternet.com

[jpcentral]

It depends on the total value of her estate. If the total value is less than £275,000 there will be no tax to pay, so, if the half share in her house is her only asset, you will be ok. That could change if she made any gifts within the last seven years - if she gave you your half share in the house.

If you are worried, seek some professional advice.

John Perry
Central Business Services
Loughborough
www.centralbusiness.co.uk

[King_Maker]

Presumably, you purchased your share of the property with your own funds?

If your mother provided your share, then this could take her over the IHT threshold.