inheritance tax

[delia]

My partner and myself are going to build a house on some land that his uncle has given him. We want everything to be 50/50. when my partner changes the deeds of the land into his name he has been advised that he will have to pay inheritance tax on the land, if I am to also put my name on the deeds as joint owner will I have to pay seperate inheritance tax as well or does one payment cover all..Thanks

 

[oysterman]

should provide you with all you need to know here.

In short, any gift only creates one CAT liability. However, if you want the gift to be made from the uncle half and half to his nephew and a stranger (i.e. you!), you may find that his half of the gift is liable for less CAT than yours because one has a larger tax free threshold on gifts from a relative (and the closer the relative the higher the threshold).

 

[eamonn66]

the upside is that your cat allowance can be added to your partners allowance with the net result that as a couple, you will be liable for less tax than if the gift was solely to your partner.
(assuming you havent already used your allowances up through other inheritances from the same category of person)