cash gift

Hi,
We can confirm that 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.
Thank you.
 

Hello, If you receive a cash gift (over £20K) from a family member and the original amount originated from a trust resident in Jersey, am I right that this would be subject to the onward gifts rules and capital gains tax on the matched capital gain under s87 TCGA 1992? If so could you also explain what the 'matched capital gain' is in layman's term please?

Hi Headlines today read HMRC to crack down on cash gifts parents have given to children over last 7 years. Please confirm this is correct and how can this be applied retrospectively? Thank you.

Hi Lottie95,
Please refer to
CG38700P - Capital Gains Manual: Trusts and Capital Gains Tax: Non-resident trusts: Charge on beneficiary of non-resident settlement – TCGA92/S87: Matching capital payments
and associated links
Thank you.

Hi,
We can confirm that 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.
Thank you

Good evening, A relative from overseas would like to gift me approximately £200,000 to help with purchasing a home in the UK. The funds are from their savings and investment dividends, on which taxes have already been paid in their country. I am a British citizen, living and working here in the UK. I’ve received conflicting advice on whether this amount might be taxed by HMRC, so I have a few questions: 1. Will this amount be subject to UK tax? 2. What should the sender write in the bank transfer description to clarify that it’s not taxable? 3. Do I need to declare this to HMRC? Thank you very much for any guidance.

Hi,
There are no tax implications for transferring savings to a UK bank account unless they generate 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

Following the October 2024 budget, do cash gifts from overseas still remain non taxable?

Thank you for your reply, but I’m not sure if it directly addresses my post, as it doesn’t seem to answer the three specific questions I originally raised, nor does it fully relate to my situation. I have already reviewed the guidance in the two articles you provided, and I appreciate you sharing them. However, my case involves funds that are not my own savings but rather savings and dividends from my relative’s business abroad. They wish to gift this amount to help me and my family purchase a house in the UK. For clarity, here are the three original questions again, directly related to the scenario described above: 1. Will this amount be subject to UK tax? 2. What should the sender write in the bank transfer description to clarify that it’s a gift and not taxable? 3. Do I need to declare this to HMRC? Thank you in advance for your time and assistance.

Hi colin866,
There are no tax implications for transferring savings to a UK bank account unless they generate 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

Hi there, My father send me around 700 pounds each month to support my living in UK. Should I report this to HMRC? If report, under what category should I report? The 700 pounds are my father's rental income. My father is a HK citizen and is living in HK. The property is owned by my father only. If it is defined as cash gift, what documents should I have to proof it? THX.

There’s no immediate requirement to report gifts to HMRC, including the £500,000 your mother gave you. However, gifts may have inheritance tax (IHT) implications if the giver passes away within seven years. It’s a good idea to keep records of the gift, such as the amount and date, for future reference. If you’re unsure or need further guidance, feel free to contact us for clarification.

Hi,
There are no Income Tax implications on the giving or 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
You may also wish to consider any inheritance tax implications. 
The rules on giving gifts can be found here:
How Inheritance Tax works: thresholds, rules and allowances
You may also want to review the guidance at:
How Inheritance Tax works: thresholds, rules and allowances
Thank you

Hi
As previously stated, the cash gift is not taxable and as such does not need to be declared. You should however provide the bank/mortgage provider with evidence to show that it is a gift.

Hello, The savings interest tax allowances include personal allowance, starting rate for savings & personal savings allowance. May I enquire about the queries below: 1. how to determine which allowance is applied? 2. can the taxpayers select to apply which allowance? Thanks & regards

Hi freeman,
The allowances are allocated in the most beneficial way to you depending on your types of income and you cannot select.
Thank you.

Hello there. I have been living in the UK for 6 years and am currently under settled status. My mother, who resides in Greece, wants to send me €70,000 in two parts of €35,000 each as a gift to help with the deposit for my first property. Will I face any issues with HMRC or my bank? What steps should I follow?"

Hello, If my dad who isn't a British citizen/resident/tax resident gave me the cash gift; does HMRC require him to issue a letter /declaration to prove his giving me the cash gift, pls?

Discussion Topic: Best Practices for Navigating Import and Export Processes Hi everyone, I'm new to the HMRC Community and wanted to start a discussion about import and export processes. Managing international trade can be quite challenging, especially when dealing with customs clearance, documentation, and regulations. For those of you with experience, I’d love to hear your insights on: Customs Compliance: What are your go-to tips for ensuring all documents are in order to avoid delays or penalties? Tariff Classifications: How do you determine the correct tariff codes for your goods? Any tools or resources you recommend? Freight Forwarders vs. DIY: Do you prefer working with a freight forwarder or handling the logistics yourself? What are the pros and cons of each? Post-Brexit Trade: Have you faced any significant changes in import/export processes with the help of since [link removed]Brexit? How have you adapted? Looking forward to learning from your experiences and sharing tips to help simplify the process for everyone here! Cheers,

Hi freeman,
No, a letter or declaration is not required.  
Thank you.