Hmm, not an expert, but the money is your father in laws for certain. Not your mother in laws. Yes, he might have paid it into a joint account and it could be considered to be 50/50 owned then. Is that what you want? I don't see a problem with that.
I have forgotten whether you have POA for your father in law. If so, I can't see any reason why he cannot gift the whole amount to his wife, if he so wishes. that takes it out of his capital altogether. I am new to the POA lark, so don't know how valid that would be, but I can't see why not. A person is allowed to transfer assets to whoever they wish, and if you have POA you are entitled to do the same. It is perfectly legal for one spouse to transfer assets to the other to avoid tax, it is not tax evasion, it is tax avoidance.
You say they have a joint account, fine, but would a substantial inheritance necessarily have been put into the joint account? would they not perhaps have considered alternatives. What sort of figure are we talking of? Not trying to be nosey, but are we saying £50,000,, £500,000? If the latter then I would seriously suggest seeking financial advice. If the former, it's not so vital.
If you have POA, you can put it where you like. Open a high interest account and bung it in in his name only (you will probably have to if it is a large sum) and then transfer it as required. Go see the bank for advice. I hate to advertise, but we found the Halifax brilliant in organising my mum's money, I'm sure other banks are just as good, and there advice is free if you are a customer already. It's also quite amazing what additional experience they have regarding consequences of investments for social security benefits.
Keep us posted, it could affect lots of us.
Regards
Margaret
I have forgotten whether you have POA for your father in law. If so, I can't see any reason why he cannot gift the whole amount to his wife, if he so wishes. that takes it out of his capital altogether. I am new to the POA lark, so don't know how valid that would be, but I can't see why not. A person is allowed to transfer assets to whoever they wish, and if you have POA you are entitled to do the same. It is perfectly legal for one spouse to transfer assets to the other to avoid tax, it is not tax evasion, it is tax avoidance.
You say they have a joint account, fine, but would a substantial inheritance necessarily have been put into the joint account? would they not perhaps have considered alternatives. What sort of figure are we talking of? Not trying to be nosey, but are we saying £50,000,, £500,000? If the latter then I would seriously suggest seeking financial advice. If the former, it's not so vital.
If you have POA, you can put it where you like. Open a high interest account and bung it in in his name only (you will probably have to if it is a large sum) and then transfer it as required. Go see the bank for advice. I hate to advertise, but we found the Halifax brilliant in organising my mum's money, I'm sure other banks are just as good, and there advice is free if you are a customer already. It's also quite amazing what additional experience they have regarding consequences of investments for social security benefits.
Keep us posted, it could affect lots of us.
Regards
Margaret