I am instructed in an estate, where there has been what can only be described as “musical houses”.
Mum sold her property, gifted majority of proceeds to son for the purchase of a property for son to live in, the remainder was gifted to daughter. Mum lives with son for a few months. Daughter then transfers her property to mother (daughter lives in a separate property with her partner) and mother moves in. Idea is that they all have a property each and everything is equal in the family. This firm was not involved I any of the transactions.
This is all done in 2016, mum dies November 2017.
There is now a massive IHT liability due to the failed PET and the transfer of the daughters house to mum, meaning estate paying IHT on the value of 2 properties (although strictly speaking son liable for tax on failed gift, as intestacy daughter has agreed for estate to pay). I have the property files for the sale of mums property and the daughters transfer and there is nothing to suggest that the transactions are anything other than what they seem.
Is there anything that can be done in this circumstance? Is there any possibility of a negligence action against the solicitors for not advising on the possible adverse effects on what the family were doing?
QS Rose & Rose