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Posted Fri, 04 Aug 2023 08:43:44 GMT by HMRC Admin 25
Hi Chris Wong,
There are no Income Tax implications on the receipt of a cash gift unless the cash gift generates interest or dividends.
These would then potentially be subject to tax.
Further guidance can be found here:
Tax on savings interest
Tax on dividends
Thank you. 
 
Posted Sun, 27 Aug 2023 16:44:08 GMT by Wal62asking
Reference post by Vin Chan I also have gifted my wife some cash from my savings, whilst I understand that the gift itself is tax freemmy concern is that this will obviously reduce my tax on the interest of the remainder of my savings as I am a higher rate tax payer. My wife would then in effect benefit from the interest of the gift as my wife does not have any other income. Would this been perceived as avoidance and be penalised by HMRC
Posted Fri, 01 Sep 2023 11:22:23 GMT by HMRC Admin 20
Hi Wal62asking,

Your wife may be subject to tax on any interest the gift  generates.  
Any interest that the savings generated before the gift was made, would be yours and you may be subject to tax on that, plus any interest your remaining savings generate in the tax year.

Thank you.
Posted Tue, 21 Nov 2023 22:40:23 GMT by
Hi, I have a question about Inheritance Tax. I read up and understand that if someone is gifted cash and the gifter passes within 7 years the beneficiary is liable to pay Inheritance Tax. What happens if my partner is gifted cash and then she regifts the amount. Is she still liable for Inheritance Tax if the gifter passes within 7 years of gifting?
Posted Wed, 22 Nov 2023 10:54:33 GMT by HMRC Admin 19
Hi,

Please contact our Inheritance Tax Team for advice.

Inheritance Tax: general enquiries

Thank you.
Posted Tue, 02 Jan 2024 18:31:35 GMT by
Hello, I am a uk resident. My parents live abroad and would like to gift an amount as an international transfer towards my house deposit. Does it classify as a cash gift and if so is there a maximum or upper limit one can receive without getting taxed Thanks
Posted Sat, 06 Jan 2024 22:03:07 GMT by
Hello, Could you please explain, my friends would like to transfer me 50k (as a gift to support a property buying); would I need to pay any income taxes from this sum? I see different opinions in different sources (In some sources, it is written that there are some limits for gifts, for instance, 3k ) If nothing is needed to pay, could you please provide any reference? And what should be noted in the payment direction? Many thanks!
Posted Wed, 10 Jan 2024 11:47:57 GMT by HMRC Admin 19
Hi Rupa Nambiar,

Yes, howevwer there are no Income Tax implications from receiving a cash gift. If the gift generates income such as interest, then this is taxable and should be declared.

Thank you.
 
Posted Wed, 10 Jan 2024 20:29:28 GMT by
Hi, My parents from abroad contributed some money towards house deposit. Do I need tp declare it to HMRC? It doesn't generate any interest. However, we might get some profit of we decide to sell the home in future. What is the advice in these scenarios? Many thanks AK
Posted Thu, 11 Jan 2024 16:22:10 GMT by HMRC Admin 5
Hi EvgeniyaEvgeniya

There are no tax implications on the giving or receipt of cash gifts, unless the cash gift generates interest or dividends.
These would then potentially be subject to tax.  Your friend may wish to speak to inheritance tax regarding any inheritance tax implications please see
How Inheritance Tax works: thresholds, rules and allowances and
Inheritance Tax: general enquiries.  
You may also want to review the guidance at How Inheritance Tax works: thresholds, rules and allowances.

Thank you
Posted Tue, 16 Jan 2024 15:18:18 GMT by HMRC Admin 10
Hi dranupama
There is no tax consequence of the tax gift and if the house in question is your only or main residence then there will be no capital gains tax to pay if/when you sell.
Posted Sun, 21 Jan 2024 10:00:08 GMT by
I and my parents are BNO (VISA) holders. We have been staying at UK over 183 days. My parents wants to give me a gift in form of cash over £88,000 by bank transfer. We are in the UK. This gift whether need to pay any income tax or capital gain tax or others ? Whether need to declare in tax return? Thank you
Posted Wed, 24 Jan 2024 14:16:53 GMT by HMRC Admin 25
Hi Sha Sha,
There are no Income Tax implications on the receipt of a cash gift unless the cash gift generates interest or dividends.
These would then potentially be subject to tax.
Further guidance can be found here:
Tax on savings interest
Tax on dividends
Posted Sat, 09 Mar 2024 14:57:38 GMT by D
Hello, The following reply present earlier in this thread seems to contradict several other replies claiming gifts are tax free here: "You can only give gifts tax-free up to a £3,000 HMRC annual allowance according to multiple sources. HMRC allows you to roll that over ONCE in your lift, so in one year you could up that to £6,000 by using 2 years' worth of allowances. Except for your spouse, this means that over and above £3k or £6k, tax does apply. It's got nothing to do with interest or dividends. It's gift tax." Assume I give £100k to these people and live more than 7 years afterwards (hence IHT out of scope): - Spouse - Child - Friend Could anyone (ideally HMRC if they're here too) please explicitly confirm if the text above means any of these people will have to pay tax on the £97k exceeding that £3k tax-free limit? If however my hypothetic £100k gift is completely tax free for them could anyone please share a scenario illustrating a gift taxed above that £3k tax-free limit? Many thanks in advance!
Posted Wed, 13 Mar 2024 13:19:52 GMT by HMRC Admin 19
Hi,

There are no Income Tax implications on the giving or receiving of cash gifts, unless, that is, the gifted money generates interest or dividends, which may be taxable. You can see guidance here:                                         

Tax on savings and investments: detailed information                                                                                                                                                                                                                                                                                                                                                                               
There may, however, be Inheritance Tax implications. You can see information here:     

How Inheritance Tax works: thresholds, rules and allowances                                                                            

You will need to contact our Inheritance Tax team for any queries relating to Inheritance Tax:      

Inheritance Tax: general enquiries       

Thank you.
 
Posted Mon, 25 Mar 2024 20:19:57 GMT by PU
If I receive a gift from a parent, living abroad of 80k pounds. Will I have to pay tax from it and can I use the money to pay off my mortgage or buy a to let property? And would there be tax implications in that case?
Posted Wed, 27 Mar 2024 17:20:55 GMT by HMRC Admin 25
Hi PU,
There are no Income Tax implications on the receipt of a cash gift unless the cash gift generates interest or dividends.
These would then potentially be subject to tax.
Further guidance can be found here:
Tax on savings interest
Tax on dividends
Thank you. 

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