Writing a will does have potential problems.

[rogerzilla]

Gifts out of surplus income are exempt from IHT as long as they don't reduce the donors' standard of luving. The objective of IHT is to tax passed-on wealth (capital). If the income was passed on as it was received and therefore was not being done to reduce wealth, it's not taxable. Have a look at IHT403.

 

[spen666]

Gifts out of surplus income are exempt from IHT as long as they don't reduce the donors' standard of luving. The objective of IHT is to tax passed-on wealth (capital). If the income was passed on as it was received and therefore was not being done to reduce wealth, it's not taxable. Have a look at IHT403.

I know IHT law very well. Form 403 is not the law.
If the gifts are so substantial as to cause you to be so upset, then it would be more likely to be gifts of capital.

Giving someone £50 is very different from giving someone £50,000 each month/ year etc

You don't agree with the IHT rules. Seek legal advice and try to challenge HMRC if you think you are correct.

 

[rogerzilla]

I assume you're a tax lawyer, then.

 

[spen666]

I assume you're a tax lawyer, then.

Assuming makes an ASS of U & ME


Like I said, if you don't think I'm right & you think you are right, get some legal advice and or tax advice and challenge HMRC