The costs of educating your grandchildren can be an expensive exercise with the ever-rising cost of private school fees and hikes in university tuition costs. You may wish to help your children fund the cost of your grandchildren's education in a tax efficient manner
HOW IT WORKS
Grandparents could consider settling their shares into a bare trust to hold the shares for the benefit of the Beneficiaries i.e. their grandchildren. This gives the grandchildren the benefits of holding the shares but without any control. Income that is generated on the shares held in trust will be subject to income tax, but the dividend income arising on the shares is assessed on the grandchildren (not the grandparent) who would potentially have access to all or majority of their personal allowance and dividend allowance. This allows grandparents to assist their children in a tax efficient manner by playing a large role in funding their grandchildren’s education.
MAKE AN APPOINTMENT
If you are interested in finding out more, and would like to make a consultation with one of our specialists, please complete the below form, or call us on 0161 850 0648.