Tax on rental income

Other

In addition to my small property portfolio, I jointly own (with my brother and my sister) my mother's bungalow in Scotland, which she gifted to us some 15 years ago to mitigate her IHT liability. She is aged 90.

She pays the market rent, which we currently share on an equal basis and we declare the income on our respective tax returns.

My brother is in poor health with little money and is in need of additional income, so my sister and I would like to forego our share of the rent and let him have it all.

My question is, although we each own a 1/3 share of the property can we ask my mother to pay all the rent to our brother without affecting division of the capital value between the three of us when she dies.

The alternative is for my sister and me to pass on our share of the rent to our brother, but I think this would require us to still declare the income and have to pay tax on it even though we would not benefit from it.

Your advice would be much appreciated.

Regards

Christopher Blount