payment to son to buy a flat

jjaammeess | 13:39 Sat 26th Jul 2008 | Personal Finance

2 Answers

Hi I want to give my son the deposit to buy a flat. I have 5 months to do this.If I give him �1000 in cash each month into his savings account will he have to declare this as income.I gave my other son �6000 cheque(�3000 allowed from this year and last) so this is not available.Answers very much appreciated
Regards
James

Intelligent Finance

Why was I sent a credit card?

Answers

1 to 2 of 2

Best Answer

No best answer has yet been selected by jjaammeess. Once a best answer has been selected, it will be shown here.

For more on marking an answer as the "Best Answer", please visit our FAQ.

themas

It is not income. He does not declare it for income tax. It is a gift. The only tax implication is that it becomes a potentially exempt transfer for inheritance tax purposes. This means that if you die withing 7 years of making the gift there may be an IHT liability in relation to it - it depends on the total value of your estate etc.

jjaammeess

Question Author

Hi Thanks themas.I am retired so I worry a bit about IHT but who's to know if I put cash in in dribs and drabs
James

1 to 2 of 2

Do you know the answer?