Jersey and UK IHT/CGT implications

[joshleb]

Afternoon all,

Difficult to word this without sounding like a d!ck, but my parents are starting to look into more financial management for when they pass.

They live in Jersey, whilst me and my sister now reside in the UK. My Dad was quite a successful farmer back in the day and hasn't done too badly for himself, unfortunately just not getting any younger, and with the current climate everyone is a bit more on edge.

From doing some reading, it doesn't look like Inheritance Tax can be applied to Jersey based assets (correct me if I am wrong), but could there be capital gains implications from receipt of anything from the parents will's or anything else to be wary of?

They are speaking to a financial advisor next week but they've asked me to have a look into first for any questions they might have to raise.

Any help appreciated

Thanks

Josh

[Simpo Two]

You might be able to find that info on a gov.uk website, or here - IM would be a good place the start - and save your folks 1% of their wealth.

[trickywoo]

Unless things have change relatively recently HMRC won't charge any tax on the inheritance you bring back to the UK other than on gains (interest etc.) earnt on it after the persons death and before brining it back.

[anonymous-user]

Is there any agricultural relief applicable?

[HootersGsy]

joshleb said:

Afternoon all,

Difficult to word this without sounding like a d!ck, but my parents are starting to look into more financial management for when they pass.

They live in Jersey, whilst me and my sister now reside in the UK. My Dad was quite a successful farmer back in the day and hasn't done too badly for himself, unfortunately just not getting any younger, and with the current climate everyone is a bit more on edge.

From doing some reading, it doesn't look like Inheritance Tax can be applied to Jersey based assets (correct me if I am wrong), but could there be capital gains implications from receipt of anything from the parents will's or anything else to be wary of?

They are speaking to a financial advisor next week but they've asked me to have a look into first for any questions they might have to raise.

Any help appreciated

Thanks

Josh

Have your parents ever lived in the UK? If they have ever had UK domicile you need to make sure they have lost it otherwise the estate may be subject to IHT. If they're full out beans then HMRC won't have a look in and as someone else mentioned, any income/gains you then make on your inheritance would be taxed in the UK.

Although the tax system in Jersey is fairly easy, do get some proper advice as there may be tax due on amounts in pension schemes etc. which you just need to be aware of.

[williaa68]

As I recall there is no inheritance tax or gift tax in Jersey. Given that its not a bad idea for your parents to think about distributing their estate before they pass, while they still have complete control. There should be no tax implications for you of receiving such a gift.