Seems like a poat

[Bill31]

Hi i trawled the boards and cant find anything specific to my situation though found alot of threads about gifting in general . Im not sure if anyone has a opinion on my query.

My dad gifted me a share of his property 10 yrs ago. My dad is going to live with his new partner and wants to sell the house as a result. He will be using the money from his share of the house when sold, and his own savings to buy the new place.

I cant afford my own place yet so will keep the proceeds of my share of the sale in the bank. But i will go and live with my dad at his new place for at least a few years, will this be ok, will i or father be caught out with any gifting rules or poat? Anything i need to worry about.

From doing reading im hoping i wont be caught out as im not contributing to new house, but may pay for some of the bills such as broadband and sky tv.

Thanks
Bill.

[maths]

No tax problems should arise.

If dad lived in property after he gave you 50% then this would have been a reservation of benefit for him; on selling the property his reservation will cease and the cessation will be a PET for him (no problem if he survives 7 years thereafter). It may be in any event on the numbers no actual IHT problem would arise.

You living in his new house not a problem for you or him.

No POAT.

[Bill31]

Maths first of all thank you for replying.

I was concerned that IR may think father wiped 50% of his estate out from the sale of first house, as he got around the GWR, and poat may arise as i continued to benefit from living in the new house with him, that he has purchased.

I would probably be keeping the cash from the sale of first house in bank.
Is it safe for me to pay for bills in the new house? Or would that be seen as me contributing in some way...

Thanks.

[maths]

You can pay all or some of bills. No problem.

[Bill31]

Gratious maths, thank you for the response once again.
Just to confirm in this situation they cant say the GWR has been navigated around causing a poat charge?

[maths]

In short, no.