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Where Taxpayers and Advisers Meet

gift of whole home to children and continue living in part

jimbo1
Posts:3
Joined:Fri Apr 15, 2011 11:16 am
gift of whole home to children and continue living in part

Postby jimbo1 » Wed Apr 20, 2016 4:43 pm

Parents want to gift the whole of their home, continue to live in the lower ground rent-free, with the children renting the upstairs to unconnected persons (full rent). Even though there will be no giving away two separate leases and freehold reversion, there will be separate entrance to the upstairs and the parents will have no access and I cannot see any benefit deriving to them from the upstairs. I can see that the lower ground is GWR and it will be part of the estate on death. But, do you see any flaws with the upper ground falling out of the estate after 7 years? IHTM 14334 example 2 seems to be about the same facts. many thanks.

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