Elizabeth Whitaker, solicitor - wills, trusts and probate team
Transcript:
Is Inheritance Tax complicated?
It is a bit of a minefield, and I think people think it’s as simple as just signing it over to your children, but it’s not. Obviously, the revenue is very wise to that sort of thing. They allow you to give away some sums of money; it’s not as strict as you can’t give away any gifts.
Every individual has an annual allowance of £3000 that they can give away, and you can carry forward that annual allowance from the previous year if you haven’t used it. You can also make any number of small gifts up to £250 to any number of individuals, not in conjunction with the £3000. And you can give away larger gifts if somebody’s getting married specifically, up to £5000 if it’s your child, or £1000 if it’s anybody else.