CGT and IHT

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    CGT and IHT

    I have been gifted some land from my father that I am renting out. I have been approached by someone who wants to buy the land, I would make a substantial gain on the value of the land from when it was gifted to me. My father is still alive, he gifted the land to me in the hope I would avoid IHT on his death, I have had the land for 3 years. If I sell I understand I would have to pay CGT on the gain but would the value of the sale be added to my eventual IHT calculation?

    #2
    Originally posted by hotdog View Post
    If I sell I understand I would have to pay CGT on the gain but would the value of the sale be added to my eventual IHT calculation?
    If you still hold the cash when you die (or other assets that have been purchased with the self-same cash).

    Comment


      #3
      The value of the land gift ( at give away date ) will remain part of your father's estate for 7 years subject to taper relief. So look after him well for atleast 4 more years.

      see -
      http://www.hmrc.gov.uk/inheritanceta...te/gifts.htm#4

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