Giving a monetary gift before death

[Dowser]

Does anyone know what happens if you give a relative a large amount of cash. I’m thinking around £50k but you only live say a further two years but not 7

Is it classed as part of the £325 k for inheritance purposes.
I didn’t know that iht was 40 per cent either.

Yes it is.

The tax rate is on a sliding scale if the gift was made 3-7 years before death. First 3 years is the full 40%:

www.gov.uk/inheritance-tax/gifts

There's also an annual gift allowance of £3,000 which, if unused, can be carried over for one year, making a possible maximum of £6,000.

Yes within 7 years it counts as part of the estate for iht purposes. You can make smaller gifts without this liability including for specific occasions such as marriage.

Thanks that clears a lot of things up
It was just two years ago so if the estate is valued under £325 k, there’s no house, so it’s a possibility, then no tax is due I take it

Yup,
if estate is below the IHT limit including the gift, no tax bill