COVID-19 Update: Tozers is providing our usual client services while maintaining the safety of our clients and colleagues. Full update here

Complete the form below to ask us a question or make an enquiry. We’ll get back to you via phone or email as soon as possible.

Insights

Inheritance Tax for home-sharing siblings

Posted on 15th January 2021 in Later Life Planning

Posted by

Rachael Morley

Associate and Solicitor
Inheritance Tax for home-sharing siblings

Last year, a new private members’ bill was introduced to Parliament, calling for there to be a ban on Inheritance Tax being paid by siblings who live together.

The concern is that, where siblings share a home, the death of one of them may mean that the survivor is forced to sell the property to pay the Inheritance Tax. This is because there is no exemption from tax for transfers on death between siblings, unlike with married couples or those in civil partnerships.

The bill aimed to change the Inheritance Tax laws for siblings sharing a home. If successfully passed, it would mean that siblings over 30, who have lived together for at least the last seven years, would not have to pay Inheritance Tax when one of them leaves their share of the home to the other.

This undoubtedly would be a welcome change for many and would take away some of the worry from the future. But, if this new ‘sibling’ exemption comes into force, what about others? Many people are surprised to learn that there is no similar exemption for long-term couples and they could face the same situation. How about other relatives, such as parents living with children? The bill does not cover these.

In any case, it is all is a bit academic at the moment. Having been introduced with publicity this time last year, the bill is yet to have a second reading.

 

For any help with tax and later life planning please contact our dedicated team, or for more information visit our tax and later life planning page.

Contact the team

 


 

Paper plane

 

Get the latest news straight from our legal experts.

Subscribe to our newsletter to recieve current, dedicated, suppport and guidance from our solicitors straight to your inbox, wherever you are.

Company & Industry

Related Insights

Insights

Call for hospitals to use gold-standard GBS test

Posted on 25th February 2021 in Medical Negligence

Patient Safety Minister Nadine Dorries has issued a call for hospitals to use gold-standard test for mothers at risk of giving babies Group B Strep, after the large-scale National Institute for Health Research-funded clinical trial on testing for GBS had received ethical approval in 2019 with an estimated 80 hopsitals required to take part ensuring the rial screening could reach 320,00 women, only 15 hospitals have been able to commit.

Posted by

Stuart Bramley

Partner and Solicitor
Insights

The Inheritance Act and Adult Children

Posted on 23rd February 2021 in Dispute Resolution

Following our recent insight on the Inheritance Act and Minor Children, this insight moves onto another category of claimant under the Inheritance (Provision for Family and Dependants) Act 1975 (“Inheritance Act”) - adult children.

Posted by

Martin Laver

Partner and Solicitor