Tax- Free saving: QUICK TAX TIPS
Sunday 30 May 1999
Arrange gifts from grandparents to grandchildren. These are more tax- efficient than gifts from parents, which are taxed as if the income belonged to the parents. Gifts from grandparents are taxed as if the income belonged to the child. It gets round the parental settlement rule.
Make the most of the ISA investment rules. With an ISA there are no geographical restrictions on where you can invest and no restrictions on holding gilts. But remember to choose a maxi ISA if you want to put the maximum pounds 7,000 in tax-free stock market investments.
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