HMRC considering 'blatant' change to tax the bank of mum and dad

HMRC considering 'blatant' change to tax the bank of mum and dad

Potential new HMRC regulations have been labelled as "daft" as Chancellor Rachel Reeves faces criticism over a rumoured policy that could inadvertently turn grandparents into tax evaders. The proposed changes focus on reducing the long-standing £3,000 annual tax-free gift allowance that families have relied on for generations.

Scott Gallacher, Director at Leicester-based Rowley Turton, expressed shock at the potential move, stating: "I can't believe the Chancellor would be daft enough to cap family gifts."

The personal finance expert warned: "All it would achieve is turning grandparents into overnight tax evaders, with cash gifts to children and grandchildren rocketing to avoid what many already see as an unfair tax."

Ami