When are Monies Inherited?
Posted: September 8th, 2021, 6:21 pm
For the purposes of Council Tax Support and Housing Benefit (single pensioner renting sheltered housing), when does a beneficiary first ‘have’ the capital from an estate that would have an effect on their entitlements?
It strikes me as reasonable for the effective date for these purposes to be when the beneficiary first has control over sufficient funds to bring their total personal capital over the ‘disregard’ - but I haven’t yet found reliable confirmation that this is also the 'official' view. Any clues or pointers to help nail it down?
If such is the case then presumably an initial distribution of a few grand such that personal capital remained below 10k wouldn’t trigger a recalculation and any subsequent top-up to replenish the initial burn would have no effect if personal assets remained below the threshold - until the executor chooses to distribute a sufficiently hefty chunk and a change of circumstances needs to be notified. At that point the beneficiary will definitely have the means to pay full whack rather than just limited cash coupled with great expectations.
Cheers!
It strikes me as reasonable for the effective date for these purposes to be when the beneficiary first has control over sufficient funds to bring their total personal capital over the ‘disregard’ - but I haven’t yet found reliable confirmation that this is also the 'official' view. Any clues or pointers to help nail it down?
If such is the case then presumably an initial distribution of a few grand such that personal capital remained below 10k wouldn’t trigger a recalculation and any subsequent top-up to replenish the initial burn would have no effect if personal assets remained below the threshold - until the executor chooses to distribute a sufficiently hefty chunk and a change of circumstances needs to be notified. At that point the beneficiary will definitely have the means to pay full whack rather than just limited cash coupled with great expectations.
Cheers!