Cash gift tax?

[RainbowHash]

Hi there, I am expecting a large cash gift from my sister. This is in relation to our late father's estate - she's inheriting the house and giving money to me (instead of us both inheriting the house). Does anyone know what taxes, if any, I would be liable for as a recipient of a lump sum of money from a sibling? Thanks in advance!

Short answer - no tax applies.

Longer answer: it sounds like you are a beneficiary of your late father's residual Estate, which will have already been through Probate and had any Inheritance Tax paid before the distribution can be made. I assume that your sister is in effect buying you out of your share and it's quicker/easier to pay you directly rather than her pay into the Estate's bank account and then pay you from there?

Thanks for the reply Sunseed. It's nearly that - if she buys my share of the house off me, she has to pay stamp duty. Doing it this way mitigates that as it's not a purchase but an inheritance. And yes, probate and inheritance tax all sorted. I did a bit googling after I posted this and came to the same conclusion. Thanks for confirming!