Not Clear on the 325k Assets Threshold and 7-Year IHT Rule
Posted: Thu Oct 12, 2017 10:20 am
Am an UK expat nearly 20 years outside UK and still retain only UK citizenship.
Both parents born in UK and resident and working there all their life.
I'm currently not tax liable in any overseas country, as I have since moved on from my long-term job residency country and currently not working where I am located.
I'm unclear on any IHT tax liability that I might attract if my parents gifted me 85,000 pounds towards property. I know about the 7-year diminishing IHT tax percentage rule but not sure how it relates to total assets of parents.
Parents joint and separate total assets are less than 325,000 pounds, so does that mean by them transferring and declaring the purpose of gifted money of 85,000 towards property this transfer would be exempt from the 7-year rule regarding the date of transfer of money to any date they might pass away in less than 7 years based on total assets under 325k ?
Both parents born in UK and resident and working there all their life.
I'm currently not tax liable in any overseas country, as I have since moved on from my long-term job residency country and currently not working where I am located.
I'm unclear on any IHT tax liability that I might attract if my parents gifted me 85,000 pounds towards property. I know about the 7-year diminishing IHT tax percentage rule but not sure how it relates to total assets of parents.
Parents joint and separate total assets are less than 325,000 pounds, so does that mean by them transferring and declaring the purpose of gifted money of 85,000 towards property this transfer would be exempt from the 7-year rule regarding the date of transfer of money to any date they might pass away in less than 7 years based on total assets under 325k ?