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Clare
Clare, Solicitor
Category: Law
Satisfied Customers: 34105
Experience:  I have been a solicitor in High Street Practice since 1985 with a wide general experience.
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My wife and I have a half share in an apartment registered

Resolved Question:

My wife and I have a half share in an apartment registered in our son's name. Our share in financial terms is about £70,000. We have 3 other daughters and wish to place our share in a trust to the benefit of all 4. We are in our late 70's in good health and aware of the 7 year rule. We receive no rent. My son does. Is there a need to act on this rule for this situation? T N Davies, Wrexham.
Submitted: 2 years ago.
Category: Law
Expert:  Clare replied 2 years ago.
Hi
Thank you for your question.
My name is Clare
I will do my best to help you but I need some further information first.
What is the value of the rest of your estate?
Clare
Customer: replied 2 years ago.

Hello,

Thanks for your response.

Home: Bungalow estimated value £220,000

A one bedroom apartment (locally) : estimated value £80,000/85,000

I look forward to your reply

T N Davies

Expert:  Clare replied 2 years ago.
Hi
Just to check - Inheritance Tax is not therefore a major problem?
Clare
Customer: replied 2 years ago.

Hi,

No.

Just the 7 year rule on this particular situation.

Regards

Expert:  Clare replied 2 years ago.
Hi
Since you will not be retaining any interest in the property - nether living there nor receiving rent provided your survive the seven years then the gift will not cause a problem.
In deed even if you do not there is not likely to be a problem since the dual tax allowance available to you as a married couple more than accounts for the value of the estate.
I hope that this is of assistance - please ask if you need further details
Clare
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