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If Someone Gifts You A House Are You Liable To Pay Tax On It?

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dave50 | 07:14 Tue 30th Mar 2021 | ChatterBank
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For example if someone was given a house worth say £200000, would the recipient have to pay tax on the gift and at what rate?
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No - however the giver may be liable for Capital Gains Tax in some circumstances. And there may be Inheritance Tax if the giver dies within 7 years.
One thing to watch, the Government are considering a 10% tax payable on all gifts over £30,000.
No, there is no tax on gifts but as dave says, the giver's estate could be liable for IHT if they should die within 7 years.
It depends on who that 'someone' is.
Link explains things in easy-to-understand format:

https://www.litrg.org.uk/tax-guides/savers-property-owners-and-other-tax-issues/capital-gains-tax/capital-gains-tax-gifts
nope - as in no tax ( now )
make sure the gift is documented and the land registry changed

The giver may be due some tax - such as capital gains
AND if the giver dies within 7 y the gift is included in HIS IHT calculation but I understand that the tax man may come after you for a ... little tickle.
" but I understand that the tax man may come after you for a ... little tickle."

Not sure - but I think it would be the responsibility of the executors.
I put in rather a nice 'may'

so that - - - if the giver has an estate of £1.2 m
and has given away £1.1 m three months before he dies,
then I think the tax man has powers to go after the holders of the £1.1m - er wherever they be ( as a tax man smelling money might say)
As an Executor I came across this situation where it was over 7 years but the Gov Probate Instructions intimated that IHT tax could still be due under some circumstances.

I rang the Probate Service Help Line and the result was hilarious - they were baffled by my particular circumstances and I was passed from pillar to post until eventually a rather unconvinced-sounding guy exonerated me in respect of the liability. Not having it in writing, I approached the Probate Interview with trepidation - but it all went off very smoothly and surprisingly pleasantly.

My grandmother signed over her house to me (worth £400,000 at the time) and died some 8 years later. There were no tax implications at the time.
When we later sold the house at a later date , we had to declare any capital gains for tax.
yeah watch out ( not here)
for serial giving

30k and then 40k four years later counts as 70k and the clock resets to zero. Not sure how many times they can do this
randy raven - granny has to move out under current rules
( retention of benefit rules) and nary spend another night in the house ( clock restarts)

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