I am sixty-one years old and own a house outright. Am I able to give it to my three children now and not have to pay taxes?

Arthur Weller replies:
If the house is your main residence, and has been since you acquired it, there will be no capital gains tax if you transfer it to your three children. If you live for seven years after the transfer, the value of the house will not be included in your estate when you die, for the purposes of calculating inheritance tax. But if you live in the house after the transfer, it will be treated as being included in your estate for inheritance tax purposes unless you pay a market rent to continue living there.