Exempt Transfers

1. Gifts to UK domiciled spouse (must be married, does not apply to 'common-law' partners). For non-UK domiciled spouse a limit of £55,000 applies.
2. Normal Expenditure of Income (care is needed here).
3. Small Gifts (£250 maximum per person, with no limit to number of recipients: cannot be added to increase any other exemption).
4. Annual Exemption (£3,000 max per taxpayer. Previous year's exemption can be used, but current year's exemption must be used in full, first).
5. Gifts in consideration of marriage: Gifts must be made conditional to the marriage. The Maximum Exemption applies to the couple, not to the Bride and Groom separately. (See list below)

Gifts made by:	Maximum Exemption
Each Parent	£5,000
Grandparents & Great Grandparents	£2,500
Bride or Groom	£2,500
Any other person	£1,000




6. Gifts to Charities (no limit to amounts or number of charities chosen, charities not registered as charities in the UK do not normally qualify).
   
7. Gifts for National purposes (e.g. colleges, universities, National Trust, National Gallery, British Museum etc).
   
8. Gifts of Heritage Property (recipients must agree to maintain and preserve property and to allow reasonable public access).
   
9. Gifts to Political Parties (to qualify, the political party, at last general election, must have had 2 MPs or 1 MP + more than 150,000 votes).
   
10. Gifts to Housing Associations (must be gifts of UK land).
    
11. Certain transfers to Employee Trusts (subject to certain conditions relating to voting control and qualification of beneficiaries).
    
12. Ex-gratia payments to Japanese POWs.
    
13. Holocaust compensation.
    
14. Death in consequence of Active Service (either death as a direct consequence of armed conflict or where wounds so sustained, contributed to death later on).