Older relatives looking to avoid new inheritance tax rules may look to offer financial gifts this year as Christmas presents to their grandchildren.
The recent budget saw changes in Inheritance Tax coming in April 2027 and will see making a financial gift more than just a kind act to help out a family member, as older savers look to efficiently pass on more of their wealth.
Stephanie Chung, associate in the private client team at Wake Smith Solicitors, looks at the importance of understanding personal exemptions before making gifting decisions in our recent advice article including:
- Impact of the Oct 2024 budget
- Tax efficient ways to gift
- Tax-free allowances
- Regular gifting from surplus income
- Gifting excess pensions cash
- Seven-year rule and potentially exempt transfers
- The use of trusts and bare trust vs Junior ISA
- Your next move
