{"id":410,"date":"2025-10-01T10:43:49","date_gmt":"2025-10-01T09:43:49","guid":{"rendered":"https:\/\/www.ecoportal.net\/uk\/?p=410"},"modified":"2025-10-01T10:43:32","modified_gmt":"2025-10-01T09:43:32","slug":"goodbye-to-sending-family-money","status":"publish","type":"post","link":"https:\/\/www.ecoportal.net\/uk\/goodbye-to-sending-family-money\/410\/","title":{"rendered":"Goodbye to sending family money \u2015 HMRC most popular ‘tax exemption’"},"content":{"rendered":"

One thing in life that can never be stopped is change, as it is the only constant in life. UK citizens had to face several changes since the beginning of 2025, and that includes the start of the new tax year. Now, some may have to say goodbye to sending their family money soon, as a certain British politician has set her sights on the HMRC’s most popular ‘tax exemption.’<\/strong> Find out today what it entails and how it could potentially affect you and your family in the (hopefully not-so-near) future.<\/p>\n

Tax in the UK is undergoing changes<\/h2>\n

The start of the new tax year included the start of several new tax changes<\/strong> for numerous employers, as well as taxpayers. Ellen Milner, CIOT Director of Public Policy, stated that:<\/p>\n

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\u201cSome of this week\u2019s changes are simply tax rises to raise revenue for public spending \u2013 the employer national insurance increase, for example. Others, such as the revised tax treatment of non-doms and those who let holiday homes, whilst also aimed at raising revenue, are significant structural reforms. Then there are the alterations to tax administration, such as additional reporting requirements for sole traders and company directors, which are largely about improving compliance.\u201d<\/p>\n<\/blockquote>\n

Now, Chancellor Rachel Reeves from the Labour Party Government has set her sights on what some may call the most popular tax exemption of His Majesty’s Revenue and Customs (HMRC). Find out how the potential change could impact you and your family.<\/p>\n

This is the most popular HRMC ‘tax exemption’<\/h2>\n

Chancellor Reeves has already introduced a significant change to Inheritance Tax (IHT)<\/a>; however, she plans to take it another step further.\u00a0 Typically, IHT is 40% taxable, unless you provide your family with gifts<\/strong> of surplus income, and not savings, in which case it will be exempt. The gifts must also form part of a person’s regular expenditures, as per a report by Glasgow Live.<\/p>\n

According to the HRMC, the following can be considered gifts:<\/p>\n