Showing your assets

Q I am currently researching a best value mortgage for a flat l want to buy with my partner in France. When filling in the application form for the mortgage in the section where we have to list our assets, is it OK to put in money promised by my partner's parents before it is actually in my partner's account? We are sure they will help but it may take some time to transfer the money.

My partner's father would like to give him ?20,000 toward the cost of the flat but he warned us that we could be taxed. How would that work?

MJD

A There is nothing to stop you putting the expected gift from your partner's parents in the list of your assets, but until the money is actually received it will almost certainly be ignored by the mortgage provider and not taken into consideration. There is many a slip twixt cup and lip, and the provider has no certainty the money will actually be paid.

As to the warning about possible tax on the ?20,000 gift from your partner's father, l assume he is referring to a liability to inheritance tax should he die within the next seven years.