There are various reasons why an individual may choose to make gifts from their estate during their lifetime. Under UK law, every citizen is entitled to gift money, property, assets or business shares, which can significantly reduce the overall inheritance tax on their estate. Strict limitations apply in terms of total gift size and quantity, but it can nonetheless be a great way of reducing tax liability.
Gifts can ensure that the beneficiary (or beneficiaries) gain access to the finances and resources they require immediately, instead of having to wait until the person’s death. Nevertheless, these lifetime gifts must only ever be issued for the right reasons and under the express consent of the individual gifting the assets – aka the donor.
At Aristone Solicitors, we provide a complete range of legal service for donors, gift recipients and those who wish to dispute lifetime gifts. For more information or to discuss your case in more detail, contact a member of the team at Aristone Solicitors today.
When Should You Contest a Lifetime Gift?
Unfortunately, the lifetime gifting system in the United Kingdom is somewhat open to abuse. This is why it is important to understand your obligations and entitlements, if you suspect a lifetime gift has been given erroneously.
We strongly suggest seeking immediate legal support if any of the following apply:
- The donor was not in a sound state of mind at the time the gift was issued
- You suspect that they were pressured or forced to make the gift
- Inaccurate or misleading advice motivated the donor to offer the gift
- The gift occurred as a result of fraud or any illegal activity
- An inappropriate gift was made by a third party with power of attorney
There are also instances where lifetime gifts are offered in an attempt to avoid claims being made on the estate of the deceased individual at a later date. For example, to prevent creditors claiming a proportion of the estate to settle outstanding debts, or to circumvent potential claims being filed under the Inheritance Act of 1975.
If you have any questions or concerns regarding a lifetime gift of any kind, it’s important to take action as early as possible. Contact a member of the team at Aristone Solicitors to discuss your case in more detail.
How Does the Process Work?
Unless there is evidence of fraud, deception or illegal activity, most cases involving lifetime gifts can be settled outside the courts. Expert third-party mediation is usually sufficient to bring such cases to a swift and amicable resolution. At Aristone Solicitors, we prefer to handle cases like these outside the courts, where possible.
However, should it be necessary to bring your case before the courts, you can count on our skilled solicitors to provide the expert representation you need. Book your obligation-free consultation with Aristone Solicitors today, or get in touch by e-mail and we’ll get back to you as soon as possible.
