Corrections and amendments to the IHT account

Produced by a Tolley Trusts and Inheritance Tax expert
Trusts and Inheritance Tax
Guidance

Corrections and amendments to the IHT account

Produced by a Tolley Trusts and Inheritance Tax expert
Trusts and Inheritance Tax
Guidance
imgtext

This guidance note explains how to deal with changes to the taxable values in the original inheritance tax (IHT) account.

Why do amendments arise?

When the IHT account is first submitted to HMRC, it is based on information available at an early stage of the administration. Before probate is granted, the personal representatives (PRs) have not been able to sell any assets, nor have they paid any outstanding bills. Valuations at that stage may simply be estimates or calculations which turn out to be incorrect. In addition, some assets or liabilities do not come to light until the process of administration reveals loose ends that need to be tied up.

Corrections to the IHT account may be generated by the taxpayer as a result of information which has become available whilst collecting in the estate. They may also be required following negotiations with HMRC or the District Valuer. Unless a non-cash asset is sold at arm’s length close to the date of death, any market value assigned to it is

Continue reading the full document
To gain access to additional expert tax guidance, workflow tools, generative tax AI, and tax research, register for a free trial of Tolley+™
Powered by Tolley+

Popular Articles

Corporate interest restriction ― administrative aspects

Corporate interest restriction ― administrative aspectsThe corporate interest restriction (CIR) regime has some specific administrative rules in addition to the general administrative requirements for corporation tax returns. This guidance note does not include commentary on provisions that are

14 Jul 2020 11:19 | Produced by Tolley Read more Read more

Short-term business visitors (STBVs)

Short-term business visitors (STBVs)What is a short-term business visitor?An STBV for UK tax purposes is an individual who performs duties for a non-UK employer and as a part of those duties has been asked to spend a short period working in the UK. There is a common misconception that there is

Read more Read more

Payroll record keeping

Payroll record keepingUnder SI 2003/2682, reg 97, “...an employer must keep, for not less than 3 years after the end of the tax year to which they relate, all PAYE records which are not required to be sent to [HMRC]...”. Reasons for keeping the records include:•being able to calculate tax and

14 Jul 2020 12:52 | Produced by Tolley in association with Ian Holloway Read more Read more