Where a father gifts his son his home and does not vacate the home. To qualify as PET I think the father must pay the son a market rent. If he survives longer than 7 years the gift becomes exempt from tax.
If the father dies after 1 year of gifting does the home value become liable in the 7 year cumulation process or is it part of the death estate where it would attract another £125000 exemption.
Any thoughts much appreciated from fiscal thinkers