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taxadvisor.uk, Chartered Certified Accountant
Category: Tax
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Experience:  FCCA - over 40 years experience as a qualified accountant (UK based Practitioner)
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Receiving £750,000 as a gift from a friend living in Italy,

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receiving £750,000 as a gift from a friend living in Italy, what are my responsabilities with HMRC?
JA: Have you talked to a tax professional about this?
Customer: not yet
JA: Anything else you want the Accountant to know before I connect you?
Customer: also what documentation would i need for my records?

Hello and welcome to JustAnswer. I am here to help you. I am reviewing your question and will respond to you shortly.
Many thanks

Customer: replied 1 year ago.
Thank you

Thank you for your question.

This is a large gift. A recipient of gift receives the amount free of any tax as there is no gift tax in the UK. YOu don't have to report the sum to HMRC.

You need to safeguard yourself in the event there was an enquiry from HMRC in the future.

You should get your friend to draw a statutory declaration stating the the funds to be transferred to you is an unconditional gift out of friend's peronal resources and that you are not expected to do any favours in return. This document would be signed by your friend and witnessed by an independent person (preferably a lawyer).

This document would also be needed by your receiving bank in the UK to comply with Anti-Money Laundering Regulations.

My aim is to give you a professional service. I hope this is helpful and answers your question.

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