Lilly Whale: Tax planning for grandparents explained

IHT implications

clock • 4 min read

Lilly Whale looks at the options for grandparents looking to financially help their grandchildren in the most tax-efficient way...

With the widening chasm between the older generation living longer and the younger generation finding it harder than ever to fund big life events, it is little wonder that grandparents often skip their Generation X children in favour of passing their wealth to their Generation Y/Z grandchildren. Nowadays Gen-X simply cannot always help with university fees or the deposit for a first home, whereas grandparents often can. Despite the shift in modern-day money habits, the law on gifting - at least from an inheritance tax perspective - has unfortunately remained steadfastly limited. That ...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Tax planning

'Christmas has come early for the government' – IHT receipts rise

'Christmas has come early for the government' – IHT receipts rise

Budget tax changes and rising take highlight advice value, experts say

Jen Frost
clock 20 December 2024 • 2 min read
No more IHT relief on pensions: How to maximise alternative tax-efficient vehicles

No more IHT relief on pensions: How to maximise alternative tax-efficient vehicles

In the light of the government’s latest Budget

Jordan Wheatley
clock 19 December 2024 • 5 min read
Changes to agricultural and business relief explained

Changes to agricultural and business relief explained

Government will publish a technical consultation in early 2025

Julia Peake
clock 11 December 2024 • 4 min read