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Cash from friend

Answer
Sathishkumar Srinivasan
Posted about a month ago by Sathishkumar Srinivasan
Hi My friend wants to give me 20000 as gift to me in cash . I would like to deposit that amount in bank and later use it for an initial deposit for a house .Will it incur tax for me and if yes how much tax I should pay . Thanks Sathish KS
Answer
HMRC Admin 32 Response
Posted about a month ago by HMRC Admin 32 Response
Hi,
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:
https://www.gov.uk/apply-tax-free-interest-on-savings 
https://www.gov.uk/tax-on-dividends
Thank you.

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