Sole gift form joint account

Can i make a sole gift from a joint account or would the gift automatically be deemed to be 50:50. If sole gift be made, would the remaining funds be treated at 50:50 for IHT.

Hi AJ06 J,
As a joint account it would be seen as 50/50.
For IHT purposes, please refer to:
How Inheritance Tax works: thresholds, rules and allowances

I would appreciate some further clarification on the origin requirements for a gift. My wife and I only have a joint current account I understand from the above that I would need a new current account in my name only to give a gift to my child which does not involve my wife under the 7 year tax regulations . Also can money put into my new account come from savings in my wife's name? With a possible 40% tax on the gift I want to want to make sure I am giving it correctly and I have been unable to find this information on the HMRC websites under gifts.

Hi,

Please contact our Inheritance Tax team for advice.

Inheritance Tax: general enquiries

Thank you.

 

Hello, I have a similar question as speedy21. My wife and I also only have a current account and we would like to gift our children money from this account. My wife is a few years younger than I, so under the 7 year tax regulations it would be sensible for the gifts to be in her name only, because she as better chance of surviving the 7 years. Could you please give me some advice on this please?

Hi John Smith

HMRC cannot comment on this as it pertains to financial advise which we are not authorised to give

Thank you