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TaxRobin, Tax Consultant
Category: Tax
Satisfied Customers: 26012
Experience:  International tax
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My sister and myself were given our mothers home 25 years

Customer Question

Hi, my sister and myself were given our mothers home 25 years ago. Our mother has lived in the home without paying rent during this period. So we are aware there will be IHT to pay. Is this the only tax to pay above the IHT threshold or will there also be CGT? Our mother has now gone into a home so we will be selling the property
JA: Have you talked to a tax professional about this?
Customer: No
JA: Anything else you want the Accountant to know before I connect you?
Customer: I dont thin The house is in need of refurbishment, would the cost of this be taken into account for IHT?
Submitted: 6 months ago.
Category: Tax
Expert:  TaxRobin replied 6 months ago.

Hello and thank you for allowing me to assist you.

Expert:  TaxRobin replied 6 months ago.

If your gives you their home at least seven years before their death, it will usually not count towards their estate and no IHT will be due.

As far as CGT of you sale for more than your basis yes you will pay. The costs to refurbish add to your basis or cost . You pay on the gain you receive from the sale

Expert:  TaxRobin replied 6 months ago.

You viewed but never responded

Expert:  TaxRobin replied 6 months ago.

Please let me know what other information you need.
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