Lifetime giving

If you want to make gifts in your lifetime, perhaps to provide funds for a child for a specific purpose or with a view to saving inheritance tax on your death, you will want to make sure that the outcome matches your objective.

You will want to avoid making a gift with reservation of benefit, which will not achieve the inheritance saving you may be looking for. A gift may trigger a pre-owned assets tax charge on you. A disposal of an asset could land you with a capital gains tax bill to pay.

Tax consequences of a lifetime gift

Our team of tax and estate planning advisers will listen to what you want to achieve in making a lifetime gift, and advise on the tax consequences, highlighting any risks that might arise that could have a detrimental effect on your or your family. We will also consider your options on how to achieve your objective and help set up structures, such as drafting a trust deed.

Here are some examples of the services we offer:

Providing for children

  • Providing for children – an outright gift to a child could result in the money being spent on an unintended purchase;
  • or the purchase of a property for your child to live in could give you a capital gains tax liability on a future disposal.
  • We can advise on the tax and non-tax consequences of the gift and offer suggestions to the way in which the gift can be structured.
  • Where this results in the setting up of a family trust we can draft the necessary documents and our team of trust managers and administrators can assist with the ongoing running of the trust.

Tax reliefs and exemptions

  • Tax reliefs and exemptions – there are many tax reliefs and exemptions available.
  • For example, there is an inheritance tax annual exemption for making gifts of up to £3,000 each tax year, an inheritance tax exemption on making regular gifts out of excess income.
  • There is capital gains tax relief on the disposal of your only or main residence.
  • Through careful planning you can maximise the use of these reliefs.

Why choose Furley Page for advice on making a gift

  • Furley Page is recognised by The Legal 500 for our expertise in estate planning, Trust and tax advice.
  • Many of our team are members of the Society of Trust and Estate Practitioners (STEP) which is the leading worldwide professional body for practitioners in the fields of estates and trusts.
  • We have a Chartered Tax Adviser
  • Our solicitors have many years of experience in advising generations of families.

 

How can we help you

Call us on

0333 331 9877

Email your enquiryEmail your enquiry

Key Contacts

Aaron Spencer

Partner & Head of Private Client

Harvey Barrett

Consultant & Head of Trustee Services