How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • Go back-and-forth until satisfied
    Rate the answer you receive.
Ask MarianC Your Own Question
MarianC
MarianC, Solicitor
Category: Law
Satisfied Customers: 573
Experience:  Expert
109551472
Type Your Law Question Here...
MarianC is online now

My father died over 15 years ago leaving a property to 4

This answer was rated:

My father died over 15 years ago leaving a property to 4 children. 2 of his own and 2 stepchildren. His wife who is still alive was to be allowed to remain in the property until her death. The property is worth between £450k and £500k. There is a small interest only mortgage on the property which my brother was obliged to take over after our father died because the lenders at the time required the loan to be paid off. My father's wife is currently very unwell and the situation with regards ***** ***** property has been brought to our attention as a result. What we are concerned about is whether inheritance tax or capital gains tax will be due when we sell the property.
JA: Where are you? It matters because laws vary by location.
Customer: England
JA: What steps have you taken so far?
Customer: None - we have no idea what steps should be taken
JA: Anything else you want the Lawyer to know before I connect you?
Customer: None that I can think of but I know very little about these tax

Hello, there will not be any inheritance tax to pay as this would have been addressed at the time of your father's death. Was it the whole house that he owned or just a half share?

Kind regards

Marian

Customer: replied 6 days ago.
He owned the whole house. We do not recall anything being raised with regards ***** ***** tax at the time of his death. When the house is sold to split the proceeds 4 ways will there be cgt to pay
Thank you

There is no CGT to pay when the Life Tenant (your father's wife dies). There is a 'deemed' disposal, so if it is a long time before the house sells it will be the difference in value from when she dies until the date of sale, this is the period that is relevant for the CGT. The way to avoid that is to transfer the property to the four names if it could be many months before selling.

Customer: replied 6 days ago.
Thank you. Because the mortgage had to be taken up by my brother the deeds were then put into his name. Will this make any difference to your answer

I don't think it matters if he was an executor, was he? In which case he held the property as a Trustee and not as a personal owner.

do you have any further question, please rate my response thank you

MarianC and other Law Specialists are ready to help you