IHTM14511 - Lifetime transfers: the charge to tax: potentially exempt transfers (PETs): tax treatment of a PET

A PET (IHTM04057)

  • is not chargeable at the time it is made
  • becomes chargeable if the transferor dies within seven years of the transfer (it is then a 바카라 사이트śfailed PET바카라 사이트ť)
  • is an exempt transfer if the transferor survives the transfer by seven years or more (it is then a 바카라 사이트śsuccessful PET바카라 사이트ť).
  • While the transferor is still alive, they only need to tell us about the PET if they make an immediately chargeable transfer in the same or following income tax year and need to work out the annual exemption (IHTM14141) that remains available.

You do not bring the PET into cumulation for the immediately chargeable transfer at the time it is made, but you will do so later if you need to consider additional charges (IHTM14571) when the transferor dies.