R D
-
RE: Upon what date does CGT become due (and be calculated) on a gifted property?
WarningThis post is currently being moderated and will be visible when it has been approved by a HMRC moderator. -
RE: Upon what date does CGT become due (and be calculated) on a gifted property?
Hi A17. Thank you for that. Obviously your answer now is different to that previously, so please could you provide a link to the HMRC document that supports the fact that the date the gift is initiated is the 'disposal date'? I'd appreciate the relevant document in case we need to demonstrate compliance with HMRC at a later date. Many thanks, Rob -
RE: Upon what date does CGT become due (and be calculated) on a gifted property?
Hello. I appreciate that people answering on this forum may not actually be HMRC CGT employees, but is someone knowledgeable able to respond to my query please? Thanks, Rob -
RE: What evidence is required when making a gift as a potentially exempt transfer?
Hello HMRC Admin 20 Thank you for uploading that link. However, I had previously read it and the lack of clarity therein was exactly the reason for my question. That page reads: Keeping records of gifts you’ve given The person who deals with your estate will need to work out what gifts you gave in the 7 years before your death. You should keep the following records: *what you gave and who you gave it to *the value of the gift *when you gave it It's not clear how that record should be provided to an executor or in what format or whether it doesn't matter at all. Would my hand written scribble on the back of an envelope suffice for example? Or is something more formal required for evidencing a PET such as a letter signed by both parties, witnessed or otherwise, and is any other evidence required beyond just the deceased's recollection? None of the above is stated in the link provided and these things should be made clear in order that citizens are able to adhere to the rules. Are you able to provide the clarification required please? Many thanks .
Name removed admin . -
RE: Upon what date does CGT become due (and be calculated) on a gifted property?
Hello. Thank you for your answer. However, after I asked my question here I rang the actual HMRC CGT line and the woman there said that the relevant date from which the 60 days counts is actually the date of gift rather than the date at which HMLR get around to completing it's register which could be weeks/months after that. Obviously, that's not what your answer says. So just to be certain, if we were to gift a property to our son by way of a 'Deed of Gift' on date 'A' (from which point onward we were to have no further financial benefit in it) but at that date 'A' HMLR had not completed a transfer in it's Register, there would be no CGT liable? Is it correct that under this scenario the 60 day window for calculating/paying any CGT due only begins at some later date when HMLR does make such a transfer of ownership in it's Register? Many thanks. -
RE: Who pays income tax on a fifted property?
Hi. I would be grateful if someone is able to respond to the question above. It has appeared on the forum board but without any replies. Many thanks. -
What evidence is required when making a gift as a potentially exempt transfer?
Hi. Could someone please clarify what requirements HMRC have for citizens to evidence a potentially exempt transfer (PET)? Is a letter sufficient for a gift made and does that have to be signed by both parties and if so does that in turn have to be witnessed? Is any other evidence required? Thankyou. Rob -
Who pays income tax on a fifted property?
Hello. I would be very grateful if someone at HMRC could please advise me on the following. We are considering gifting a rental property to our son. CGT aside (which we would settled ourselves with HMRC), if the property remains tenanted our son wishes us to remain as landlord (which I understand we can do) and he to have nothing to do with that beyond ownership. Since we will continue to be the landlord on the contract, will the rental income be viewed as income by myself (and wife) or thereafter as our son’s income (for income tax purposes) and can our son elect income to be viewed as ours if he doesn’t want to start doing annual tax returns (which he doesn’t want to do). We and our son are all basic rate tax payers and so the tax take will be the same whoever actually has to pay the tax. Many thanks! -
Upon what date does CGT become due (and be calculated) on a gifted property?
Hi. Could someone please confirm my understanding regarding on what date a gift of a property incurs a CGT (where one is due)? My understanding is that the relevant date for any CGT charge due (known as the ‘date of exchange’ I believe) is when the property is actually accepted as having been gifted by the two parties involved (lets say as a document of gift between them) rather than the date that HMLR actually processes the necessary paperwork and amends the record of proprietorship in the Register at some later date. Is that correct and is there a lime limit after the ‘date of exchange’ by which HMLR must have amended ownership or is that not even required? Many thanks. Rob