Lifetime gifts: Have you heard of the 14-year effect?

Although many will have heard of the potential ‘14-year effect’ for lifetime gifts, it will probably be fair to say that few can recall what it is and what the implications are. However the consequences of triggering a 14-year effect can significantly increase in IHT liability. Lifetime gifts I am sure we are all familiar with what a lifetime gift is – in its simplest form a lifetime gift is any gift made to individuals from your estate for inheritance tax purposes. Depending on how the gift is set these sorts of gifts are known as potentially exempt transfers (PETs) or chargeabl...