IHT and gifts query

[hpsims9971]

I am in the process of completing the IHT403 for my late uncle and need some assistance with what will be classed as gifts and maybe chargeable

A number of the gifts are actually expenses that have been incurred over the years and are gifts to payback bills would these need to be included in the gifts list

eg, paying for hotel and petrol expenses to come to visit my uncle
paying for carpet and kitchen refurbishments that I paid for myself and flowers for various funerals and clothes and toiletries. so the gifts of cheques are actually funds to repay what has been incurred by myself.

a regular gift of £500 per month has been paid out of excess income as gift. can another £400 a month regular gift be made to the same person for another reason such as for paying towards nursing home costs for his sister as well as a further yearly gift for ISA savings to that same person, as long as there is excess income to be able to cover these expenses.

Also if these exemptions are made I take it that as 1 exemption has been made then another exemption such as small gift for xmas such as £100 can't also be used then.

Sorry for all the questions

[maths]

A number of the gifts are actually expenses that have been incurred over the years and are gifts to payback bills would these need to be included in the gifts list

A transfer of monies by your uncle will not constitute gifts by him where he is reimbursing a person for expenses he has asked them to incur on his behalf (eg you pay his electric bill and he reimburses you).

If you visit uncle and stay in a hotel and he gives you monies to cover these travel and hotel costs they are gifts by him.

The £500/month may be exempt under the "normal expenditure out of income" exemption.

Any gifts which can be covered by uncle's net income without affecting adversely his standard of income will satisfy the "normal expenditure out of income" exemption. Unlikely one-off ISA payment falls within this exemption.

Other gifts not covered by this exemption will be covered (or partially covered) by the annual exemption (£3,000 pa). The £250 small gifts exemption applies to gifts to an individual. Thus, it's possible to gift £3,000 to X and also £250 to X (and £250 could also be given to Y, Z etc).

[hpsims9971]

Thanks for the information.

I'm having some difficulty with the forms now I've been told by hmrc that only general gifts go on page 3 of iht 403 and that the regular gifts out of excess income are not to be individually listed on the ft orm only a total for the Yr put on section 8 where you list all the income and expenses.

Is this correct as seems to be vague in provided detailed information of gifts to the tax office to show if they can be excluded or not

If I have the following regular gifts out of excess income regular gift of 500 per month - - 6,000 p y
Regular gift of 400 per month - - 4,800 p y
Regular yrly gift of isa allowance of 15,000 every yr

Then I don't put this is section 3 of the gifts I just put the total of 25,800 on the surplus gifts box for each Yr in the income and expenses chart on page 8 so no where does it show what value these gifts were and their regulatory.

Any help on clearing this up or how I should be listing this would be much appreciated.