Gifting and IHT — a look at everything advisers need to know

Surprising tax implications of a gift to a long-term partner

clock • 4 min read

Richard Burgess explores the various tax consequences of gifting and asks: should you always look a gift horse in the mouth?

Gifts made between spouses or civil partners either during their lifetime or under the terms of a will are made free of inheritance tax. This means that the threshold of £325,000 of assets that can pass to anyone other than a spouse, civil partner, or a charity without giving rise to a charge to inheritance tax, remains intact irrespective of the nature or value of inter-spouse gifts. However, gifts made between long-term partners do not benefit from the same exemption. This means that if the aggregate value of gifts made from one partner to another in any tax year exceeds £3,000, and th...

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

Offshore bonds explained - how they work and what clients they are suitable for

Offshore bonds explained - how they work and what clients they are suitable for

Resurgence in interest over the past few months

Laura Purkess
clock 24 February 2026 • 5 min read
Webinar: IHT on pensions – Advisers' questions answered

Webinar: IHT on pensions – Advisers' questions answered

Join us on 10 March 2026

Professional Adviser
clock 20 February 2026 • 1 min read
IHT receipts continue climb to £7.1bn

IHT receipts continue climb to £7.1bn

Experts note ‘fairly modest’ growth

Jen Frost
clock 20 February 2026 • 3 min read