Have Tax Questions? Ask a Tax Expert for Answers ASAP
Hello, I am Keith, one of the experts on Just Answer, and pleased to be able to help you with your question.
Whilst putting your sons name on the deeds was a good step in avoiding Inheritance ax (IHT) just remember from 2017 through to 2020 if a house is left to a child the 325K IHT limit rises progressively to 500K.
I fear that as he already owns houses the 3% SDLT will apply. The purpose of the surcharge is to deter individuals from owning more than one house. If he disposes of his other properties within three years then the surcharge may be refunded.
I am so sorry to have to rain on your parade.
Yes there is the 40K limit which I should have mentioned. I had reasonably assumed that with four flats the value would have been well above that level. Good news for him though.
Please be so kind as to rate me before you leave the Just Answer site.