A Sunday Times journalist is keen to hear from lawyers and accountants on whether they are seeing an increase in people gifting property to their children before any possible changes to capital gains tax or inheritance tax in the budget. &nbsp;

Are you seeing an increase in people gifting properties?

For most, gifting properties is not an option as this will trigger capital gain tax charges at a rate of up to 24%. The market value of the property will be taken as the deemed proceeds, and therefore any "profit" on the sale will be subject to tax - due within 60 days of the transfer. Although the individual may be asset rich, in many cases they cannot stomach the cashflow impact of settling the CGT bill for a speculative piece of tax planning. Many new enquiries we receive are asking about trust sturctures to reduce the size of their estate, which gives more flexiblity on Inheritance Tax. Trusts come with their own complications and adminstration burden, but used appropiately can be an effective tax planning tool.

Ed Stittle

Chartered Accountant (ICAEW) and ex-Auditor at global advisory firm.

Accountancy and Tax Practice Owner at ESDG Accountancy since 2020.

Focus on advising owner managed businesses and employed professionals.

Are you seeing an increase in people gifting properties?

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Ed Stittle

Practice Owner & Chartered Accountant at ESDG Accountancy Ltd

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