Gift tax for cash gift from overseas

I’m a tax paying UK citizen, about to buy a property. My parents in Canada would like to gift us money towards the deposit, will this be taxed in the UK? I understand if any interest is gained we would pay tax on that, but would we need to pay any other tax? The money would be transferred to my account and go directly to the Solicitor towards the house deposit.

Hi there, I moved to the UK 2.5 years ago and file my annual self-assessment on a remittance basis. My wife and I are looking to buy a house and her parents who live in the US want to gift us £100,000 towards the house's deposit. Would such a transfer incur a tax if it was made to my account? Thank you

Hi, If i receive gift money from the cousin of my mother from France. I'm not UK citizen but I'm resident for 8 years. I understand there is no tax on gift money, but what happen if she pas away under 7 years? Does Inheritance tax applies only on close family? thank you

Hi Peet,

Please contact the Inheritance Tax team for advice.

Inheritance Tax: general enquiries

Thank you.

Hi Ilana Maguire,
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
And:
Tax on dividends
Thank you. 

 

Hi Jacob,
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 and Tax on dividends).  
Thank you.

Hello. I am living in the UK on a BRP. I am a UK tax resident in my personal capacity. If I receive a cash donation of £50k, what are the personal tax implications? What do I need to do regarding my tax return? And what does the do we need to do?

My friend who is a French resident wishes to give me a cash gift of £20000. I am a UK citizen. Do I need to pay any tax in UK or France?

Hi, If a UK citizen sends another UK citizen (a family member) a gift of money from an abroad acount to a UK bank account, is this liable to tax and does it matter which country the account/money is in? And can the money be directly transferred or does it need to be first put into the giftee's (person receiving the money) account abroad? Thanks!

Hi Jessica Van Der Merwe

You would need to confirm if this is in fact a donation to your business or a personal cash gift.  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 and Tax on dividends).  
If a donation to your business this would be seen as income.

Thank you

Hi Blue99 Wilson

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 and Tax on dividends). 

Thank you

Hi DoctorWhat

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 and Tax on dividends). 

Thank you

Hi, My wife is undergoing a medical procedure. My parents (both EU citizens living in the EU) would like to support her financially with a 4-figure amount. My wife is a British citizen, living in the UK, and self-employed. Does she have to declare the amount in her tax return? And does she have to pay any taxes on this gift? And if so, is there any allowance up to which she is exempt from being taxed for the cash gift. Thank you

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. You can see further guidance here:

Tax on savings interest

Tax on dividends

Thank you.

Hello My parents living in India wish to give me approx £50000 (in Indian rupees) as a gift. The amount will be deposited in a bank account in my name in India. Besides paying tax on any interest it gathers, do I need to pay tax on the gift amount? Thank you

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:

Tax on savings interest

Tax on dividends

Thank you.  

Hi I'm a full-time foreign student studying in the UK. And will be receiving a gift of £20k from my family in the UAE. Do I need to pay tax on this gift? I am a UK resident. Thanks.

Hi there, I am a British citizen, living in the UK for 14 years now. I also have another nationality. I was visiting my country of birth recently and my mom handed me £5000 cash from her savings as a gift. I took the money with me to the UK and deposited to my bank account. Do I need to pay taxes on this? Its very confusing as HMRC website says its £3000 per year but this forum seems to tell there is no tax on cash gifts from relatives. Can you please confirm? Thanks.

Hi, I am a French citizen with pre-settled status who studied in the UK since 2019 and am now working and a full-time UK resident. A grand parent in France is looking to gift me about the equivalent of £25k. Would there be tax implications in the UK? Would be helpful if you could (no matter the answer) provide a link or source. Much appreciated. Kind regards, 

name removed admin .

Hi, I would be grateful if you could clarify the UK tax implication in the following circumstances. I am a British citizen that lived abroad since 2013. I will return back to the UK with my children of 14 and 12 years old and resume my tax residency in August 2024. My husband who is a non-dom British citizen and non-UK resident, will continue to remain a non-UK resident and will not live in the UK. Could you please let me know if the following is correct? - All money that I receive to my UK bank accounts from my husband or my other relatives that are not UK residents have no UK tax implication as this is a cash gift. Is this correct? - There is no limit on amount and / or number of such transfers. Is this also correct? - The transfer of monies from an overseas bank account of my non-resident husband to his UK bank accounts has no income tax implications. Is this correct? Could you please confirm? Many thanks