Inheritance Tax on death.
Inheritance Tax has to be accounted for within 6 months of the end of the month the person died in. This means that this sort of estate needs to be dealt with swiftly and (preferably) by a team well versed in working with taxable estates and the complex IHT 400. We have reproduced the contents list of this form below, so you see that it is unlikely to be a DIY task.
Our parent firm is The Probate Department Ltd solicitors, who are specialists in estate planning and probate. Our Head of Legal is dual qualified as a solicitor and section 206 tax barrister, so is ideally placed both to set up and implement planning and probate. She has the wide understanding of these issues which may be lacking in local firms, or massively expensive in the big international firms who have experts in absolutely everything. Because our overheads are low, and we tend to conduct discussions by phone and email, we can keep our fees down to very sensible levels.
Do bear in mind that there may well be measures which can be taken in the last few weeks or even days. These could substantially reduce the impact of Inheritance Tax. Alternatively they may need to protect those left behind from legal documents which may be decades away from current reality. One thing which is always worth doing is carefully sorting papers and NOT throwing any of them away. Executors may need to track back 14 years or even more, so lost papers can be disastrous.
If the situation is urgent, call us on 01323 406 299 as well as using the enquiry form. Our probate service covers England and Wales only.
And here are the details of that wonderful IHT400 form and its’ 30 additional schedules.
Inheritance Tax on death: Inheritance Tax account (IHT400)
Use form IHT400 and schedules IHT401 to IHT430 as part of the probate or confirmation process if there’s Inheritance Tax to pay or the deceased’s estate does not qualify as an ‘excepted estate’.
Inheritance Tax: Inheritance Tax account (IHT400)
Ref: IHT400 PDF, 595KB.
Guide to completing your Inheritance Tax account (IHT400 notes)
Ref: IHT400 notes PDF, 528KB, 91 pages.
Inheritance Tax nil rate bands, limits and rates (IHT400 rates and tables)
Ref: IHT400 rates and tables PDF, 43.4KB, 2 pages.
Inheritance Tax account calculation (IHT400 calculation)
Ref: IHT400 calculation PDF, 191KB.
Working out the interest on Inheritance Tax on death payments (IHT400 Helpsheet)
Ref: IHT400 Helpsheet PDF, 88.5KB, 3 pages.
Use form IHT400 and schedules IHT401 to IHT430 below as part of the probate or confirmation process if there’s Inheritance Tax to pay or the deceased’s estate does not qualify as an ‘excepted estate’.
IHT 401: domicile outside the United Kingdom.
IHT 402: claim to transfer unused nil rate band.
IHT 403: gifts and other transfers of value.
IHT 404: jointly owned assets.
IHT 405: houses, land, buildings and interest in land.
IHT 406: bank and building society accounts.
IHT 407: household and personal goods.
IHT 408: household and personal goods donated to charity.
IHT 409: pensions.
IHT 410: life assurance and annuities.
IHT 411: listed stocks and shares.
IHT 412: unlisted stocks and shares and control holdings.
IHT 413: business and partnership interests and assets.
IHT 414: Agricultural Relief.
IHT 415: interest in another estate.
IHT 416: debts due to the estate.
IHT 417: foreign assets.
IHT 418: assets held in trust.
IHT 419: debts owed by the deceased.
IHT 420: National Heritage assets, conditional exemption and maintenance funds.
IHT421: probate summary.
IHT422: application for an Inheritance Tax reference.
IHT 423: Direct Payment Scheme bank or building society account.
IHT 430: reduced rate of Inheritance Tax.
Inheritance tax on death and some of the forms.